Long-term growth, international trade & globalization
Course:- Microeconomics
Length: Word Count: 564
Reference No.:- EM1333

Assignment Help
Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Microeconomics

Question:  Long-term Growth, International Trade & Globalization

a.       In terms of understanding the importance of trade to an economy, the most important consideration is the trade balance - deficit or surplus.
i. True or False? ii. Why?

b.      The US is the largest exporter in the world.  The US has run a persistent trade deficit (importing more than we export) for over two decades. e?

c.       A country can only have a comparative advantage in those products and services that it produces at the lowest absolute cost (for a given quality).
i. True or False? ii. Why?

d.      Comparative advantage is the ability of an individual, a firm, or a country to produce a good or service at a lower i._______________________ cost than competitors.
ii. Briefly Explain?

e.       In the "Gains from Trade" framework, the win-win proposition obviously means that everyone wins from international trade.
i. Yes or No? ii. Why or why not?

f.       i. Briefly explain and ii. quote how Charles Wheelan pulls together productivity, specialization, and trade as the "formula" for a country to create wealth.


This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade scenario and Charles Wheelan's quote are answered.

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Microeconomics) Materials
Milk becomes more popular amd better feed increases milk production. how do these events influence demand and supply  describe how the equilibrium price and equilibrium quan
Using Excel's regression function in the Data Analysis menu. (b) Using the coefficients found in the regression estimate, enter a formula (based in cells C6 through J6 to
A firm’s production function is given by: f(L,k) = L^1/2 , where L is the only input into production and it is variable in both the short and long run. Draw the long-run condi
Briefly explain the Microsoft case, focusing on precisely how Microsoft was alleged to have violated the Sherman Act? What was the outcome of the case and why was that decisio
The miracle Manufacturing company Short run Average cost Function In 1997 Is AV=3+4Q , Whwer AC is The firms Average cost ($/pound)And Q Is its output rate. A) Obtain an equ
In the table below is a list of domestic output and national income figures for a certain year.  All figures are in billions.  The questions that follow ask you to determine
Nutrients and pesticides are prevalent causes of water pollution. From an economic perspective, analyze why more has not been done to control agricultural runoff, the m
Why was the government bailout controversial? Does the fact the federal government earned a profit on its investment in AIG mean that economists and policymakers who opposed t