ECS3702 Assignment 1 Questions and Answers Already Passed
International trade theory refers to... - Answersi) the microeconomic aspects of international trade
ii) the macroeconomic aspects of international trade
iii) open economy macroeconomics
An improvement in a nation's terms of trade means that... - AnswersThe prices of its exports have
increased more than the prices of its imports.
According to the mercantilists, trade was considered a... - AnswersZero-sum game
The mercantilists believed that a country's economic welfare depends on... - AnswersAchieving a
favourable trade balance
Which of the following policies did the mercantilists advocate to achieve their objective? -
AnswersImposing tariffs, quotes, and other trade barriers
According to the law of comparative advantage, a country should specialise in producing a good or
service in which it has a comparative advantage. Comparative advantage is determined by... -
AnswersOpportunity cost of production
International trade theory refers to... - Answersi) the microeconomic aspects of international trade
ii) the macroeconomic aspects of international trade
iii) open economy macroeconomics
An improvement in a nation's terms of trade means that... - AnswersThe prices of its exports have
increased more than the prices of its imports.
According to the mercantilists, trade was considered a... - AnswersZero-sum game
The mercantilists believed that a country's economic welfare depends on... - AnswersAchieving a
favourable trade balance
Which of the following policies did the mercantilists advocate to achieve their objective? -
AnswersImposing tariffs, quotes, and other trade barriers
According to the law of comparative advantage, a country should specialise in producing a good or
service in which it has a comparative advantage. Comparative advantage is determined by... -
AnswersOpportunity cost of production
