1 of25

If Brazil produces more citrus with less labor and less land than any other country; it therefore necessarily has:

	Both a comparative and absolute advantage
	An absolute advantage in citrus production
	A comparative advantage in citrus production
	An absolute advantage and a comparative disadvantage in coffee production

Question

2 of25

In the United States, childless women with the same education and experience levels as men are typically paid a comparable rate.

	True
	False

Question

3 of25

Labor unions can

	act as a monopoly in the labor market, and bring better gains for their membership.
	be a primary line of defense against suppressed wage levels.
	protect workers' pensions.
	be controversial in a for-profit market driven economy, and all of the above.

Question

4 of25

When the government legislates policies to reduce or block international trade, it is:

	Engaging in protectionism
	Enforcing tariffs
	not blocking international trade
	Following the World Trade organizations rules and procedures

Question

5 of25

Currently there is a trend in international trade that economist call splitting up the value chain, the value chain:

	Is a calculated value of all the exports in the chain
	Products are produced in one factory and assembled in another factor in the same country
	Describes how products are produced in stages
	Subtracting the value of all the inputs from imported items to determine the cost of goods

Question

6 of25

In intraindustry trade, the level of worker productivity is due to:

	Climate and geography of a country
	Education level
	Skill Sets
	How firms engage in specific learning about specialized products

Question

7 of25

The U.S. has decided to impose a 33% tax on solar panels that are imported from China:

	This is a tariff
	This is an import quota
	This will protect the solar industry in the U.S
	BothA and C

Question

8 of25

Since the National Basketball Association is the only significant employer of professional basketball players, it might be referred to as a(n)

	oligopsony.
	monopoly.
	monopsony.
	oligopolist.

Question

9 of25

After World War II the Taft-Hartley Act of 1947 was passed, it

	specified that workers had a right to organize unions and that management had to give them a fair chance to do so.
	gave states the power to allow workers to opt out of the union in their workplace.
	requires employers with more than 100 employees to provide written notice 60 days before plant closings or large layoffs.
	regulates employee pension rules and benefits.

Question

10 of25

Discrimination in labor markets arises if __________________, as measured by education, receive different pay because of their _________.

	workers with the same skill levels; race or gender
	workers with different skill levels; race or gender
	workers with no experience; marital status or race
	workers with experience; marital status or race

Question

11 of25

Since the Wynot mine is the only significant employer of miners in River, Wyoming, it might be referred to as a(n)

	oligopsony.
	monopoly.
	monopsony.
	oligopolist.

Question

12 of25

The U.S. Government strongly encouraged unions to be formed in the early 1940's because they held the view that unions would help to:

	Strengthen the National Labor- Management relations act of 1935
	Encourage more woman to enter the workforce
	Co-ordinate the all-out production efforts needed during World War 11
	End racial discrimination that was prevalent in American workplaces

Question

13 of25

The main difference between a monopsonist and a competitive buyer of labor is that:

	the competitor can hire as many workers as it wants at the going wage while a monopsonist can force wages down when hiring additional workers.
	the competitor can hire as many workers as it wants at the going wage while a monopsonist must raise wages to hire additional workers.
	the competitor is a small firm while the monopsonist is a large firm.
	the competitor is also a competitor in product markets while the monopsonist is also a monopoly in product markets.

Question

14 of25

The existence of labor unions forces employers to deal with workers __________.

	individually, in accordance with the Fair Labor Standards Act of 1938
	collectively, rather than as individuals
	cooperatively, rather than uncooperatively
	equitably, rather than inequitably

Question

15 of25

Suppose S. Korea can produce 50,000 TV's or 5000 gallons of maple syrup in a typical workweek, while Canada can produce 40,000 TV; s or 5000 gallon of maple syrup in a typical workweek. From these numbers, we can conclude:

	Canada has a comparative advantage in the production of hockey sticks.
	S. Korea has a comparative advantage in the production of TV's.
	Canada has an absolute advantage in the production of maple syrup.
	S. Korea has an absolute advantage in the production of maple syrup.

Question

16 of25

The U.S. has decided to impose a 15% tax on cheese that is imported from the European Union.

	This will protect the domestic cheese industry
	This will increase the price of domestic cheese
	This will reduce the number of imports from the European Union
	All of the above

Question

17 of25

In recent years, the U.S labor market has experienced a(n) ________ in the earnings gap between men and women. One of the main factors behind this is _____.

	big increase; an increase in gender -based discrimination in the labor markets
	increase; women are getting married and having children earlier in life
	decline; women's' career focus and rewards gained with top-level job expertise
	big decline; men have steadily been less productive and their wages have fallen

Question

18 of25

Before trading, the equilibrium price of sugar in Brazil is 12 cents a pound and in the U.S it is 24 cents a pound. When trade is allowed and the U.S is allowed to import sugar, which of the following will occur?

	Sugar production will increase in Brazil.
	The price of sugar will increase in Brazil and decrease in the U.S.
	Consumers of sugar In Brazil are worse off, producers in the U.S are worse off.
	All of the above

Question

19 of25

According to the theory of ________________ , countries gain from trade because

	absolute advantage; trade makes firms behave more competitively
	comparative advantage; world output can rise when each country specializes in what it does relatively best.
	opportunity cost; each country has an absolute advantage in producing something
	comparative advantage; output per worker in each firm increases

Question

20 of25

Comparative advantage indicates the idea that one party:

	may be able to produce everything relatively more efficiently than another party.
	may be able to produce something at a lower dollar cost than another party.
	with an absolute advantage in producing two different may export goods both of those goods to the other party.
	may be able to produce something at a lower opportunity cost than another party.

Question

21 of25

________ involves active efforts to increase opportunities in the workplace or education for underrepresented parts of society such as minorities and women.

	Affirmative action
	Collective bargaining
	Anti-discriminative action
	Meritorious action

Question

22 of25

About one-third of immigrants coming into the U.S, over the age of 25, lack a high school diploma. As a result, the:

	Demand curve for skilled labor will shift left, lowering salaries.
	Supply curve for skilled labor will shift right, raising salaries.
	Supply curve for unskilled labor will shift right, lowering wages.
	Demand curve for unskilled labor will shift left, raising wages.

Question

23 of25

In Colombia, coffee is produced with less labor and land than any other country; it therefore necessarily has:

	a comparative advantage in coffee production.
	both a comparative and absolute advantage in coffee production.
	an absolute advantage in coffee production
	an absolute advantage and comparative disadvantage in coffee production.

Question

24 of25

The idea behind comparative advantage reflects the possibility that one party:

	may have an absolute advantage in producing two different goods and may export both of those goods to the other party.
	may be able to produce something at a lower dollar cost than another party.
	may be able to produce something at a lower opportunity cost than another party.
	may be able to produce everything relatively more efficiently than another party.

Question

25 of25

In the United States, union membership has ________ because of ________________.

	fallen; laws making workplace protection more difficult
	fallen; laws enacted making it more difficult to unionize
	risen; the shift from service industries
	risen; the increased trade from U.S. Manufacturers