1-The substitution effect of a higher interest rate boosts saving.

Group of answer choices

True

False

2-An example of a nontariff barrier is a:

Group of answer choices

limit on the total number of Honda automobiles imported from Japan.

regulation specifyingthat each imported Honda automobile must meet certain emission exhaust guidelines.

tax of $500 on each Honda automobile produced in the United States.

subsidy from the Japanese government of $500 for each Honda automobile imported into the United States.

3-Strategic trade policy argues for protecting certain industries within a countryso as to increase economic well-being within that country.

Group of answer choices

True

False

4-If marginal product of labor is ________marginal revenue product of labor must be ___________.

Group of answer choices

rising; falling

falling; falling

falling; rising

rising; zero

5-A payment made to people who agree to postpone their use of wealth is

Group of answer choices

profit

wage

rent

interest

6-When a firm decides to expand its capital stock it can generally

Group of answer choices

use its own funds

borrow the funds from the bank

sell bonds

do all of the above

7-Table 2

Country	Output per day of work
	Computers	Scanners
USA	50	40
Canada	10	30

Suppose with 1 unit of a resource USA can produce 50 computers or 40 scanners.With 1 unit of a resource Canada canproduce 10 computersor 30 scanners.According to the dataand as shown inthe table above, in Canada the opportunity cost of producing one additional scanner is

Group of answer choices

20 computers

30 computers

1/2 computer

1/3 computer

8-(Exhibit: The Minimum Wage) If it is thought that wages for some workers are not "sufficient" and a minimum wage is established at Wm, which is a wage ________, that means that ________ workers will now be hired.

Exhibit: The Minimum Wage Wage per unit of labor 0 L2 L1 L3 Employment per period