Analysts conclude that the finite supply of natural resources will most likely ________.

Analysts conclude that the finite supply of natural resources will most likely ________. A) cause a higher proportion of world trade to occur among...

All of the following are reasons that foreign investment may stimulate exports from the home (donor) country EXCEPT which of the following?

All of the following are reasons that foreign investment may stimulate exports from the home (donor) country EXCEPT which of the following? A) The...

The inability of a company to gain foreign production factors to use in its domestic operations most likely ________.

The inability of a company to gain foreign production factors to use in its domestic operations most likely ________. A) entices the company to export...

In this example, assume that both trade and production factors are internationally mobile. Using domestic labor, the labor cost per silicon chip is $.10 in Japan and $.20 in the United States. Using domestic capital, the capital cost per chip is $.10 in Japan and $.05 in the United States. Chip transportation in either direction is $.10. Japanese labor is willing to work in the United States for $.15 per chip including the workers' transport cost. U.S. capital will go to Japan at a cost of $.08 per chip including transaction costs. Which silicon chips will the United States buy?

In this example, assume that both trade and production factors are internationally mobile. Using domestic labor, the labor cost per silicon chip is...

Country X brings in a large number of unskilled immigrants to meet its labor needs. Which of the following is the LEAST likely to occur in Country X as a result?

Country X brings in a large number of unskilled immigrants to meet its labor needs. Which of the following is the LEAST likely to occur in Country X...

Which of the following is the LEAST likely result of outward migration?

Which of the following is the LEAST likely result of outward migration? A) Emigrants remit capital used to start businesses in their home countries. B)...

Brain drain is a term that describes ________.

Brain drain is a term that describes ________. A) a country's loss of educated, productive people B) a nation's shift from an emerging market to a...

Labor and capital mobility are intertwined because ________.

Labor and capital mobility are intertwined because ________.  A) illegal workers sometimes pay large sums to people who smuggle them into another...

All of the following are examples of international labor mobility EXCEPT ________.

All of the following are examples of international labor mobility EXCEPT ________. A) a manager assigned by an MNE to work short-term abroad B)...

All the following are reasons for the lower international mobility of people than capital EXCEPT which one?

All the following are reasons for the lower international mobility of people than capital EXCEPT which one? A) The differences in economic return...

The most internationally mobile factor of production is ________.

The most internationally mobile factor of production is ________. A) labor B) management C) long-term capital D) short-term capital Answer:...

Between now and 2050, countries undergoing a simultaneous population reduction and an increased percentage of retirees in the population most likely will need more ________.

Between now and 2050, countries undergoing a simultaneous population reduction and an increased percentage of retirees in the population most likely...

Which of the following statements most likely undermines the arguments for a strategic trade policy?

Which of the following statements most likely undermines the arguments for a strategic trade policy? A) Entrepreneurs, rather than governments, should...

A governmental strategic trade (industrial) policy is one that ________.

A governmental strategic trade (industrial) policy is one that ________. A) lessens dependence on foreign military goods B) seeks reciprocal free...

Which of the following best supports a nation's decision to implement a strategic trade (industrial) policy?

Which of the following best supports a nation's decision to implement a strategic trade (industrial) policy? A) The policies have usually resulted...

Costa Rica applied the concepts of the diamond of national advantage theory to help transform its economy by ________.

Costa Rica applied the concepts of the diamond of national advantage theory to help transform its economy by ________. A) building domestic demand...

According to the diamond of national advantage theory, the domestic existence of all four conditions best explains ________.

According to the diamond of national advantage theory, the domestic existence of all four conditions best explains ________. A) the essence of an...

The diamond of national advantage would be best used to answer which of the following questions?

The diamond of national advantage would be best used to answer which of the following questions? A) How do developed countries prevent the trade...

All of the following are features of the diamond of national advantage theory EXCEPT ________.

All of the following are features of the diamond of national advantage theory EXCEPT ________. A) firm strategy, structure, and rivalry B) strategic...

Contrary to the product life cycle theory, there has been an increased tendency for companies to ________.

Contrary to the product life cycle theory, there has been an increased tendency for companies to ________. A) sell products only in their home markets...

All of the following are types of products that are usually exceptions to what is predicted by the product life cycle theory EXCEPT ________.

All of the following are types of products that are usually exceptions to what is predicted by the product life cycle theory EXCEPT ________. A)...

Which of the hypothetical new products, if successful, would most likely diffuse its production and sales according to the product life cycle theory?

Which of the hypothetical new products, if successful, would most likely diffuse its production and sales according to the product life cycle theory? A)...

According to the PLC theory, developing countries have their best production advantage in which stage of the product life cycle?

According to the PLC theory, developing countries have their best production advantage in which stage of the product life cycle? A) growth B) maturity C)...

According to the PLC theory, what is the most likely reason that companies manufacture products in locations with high labor rates during the introductory stage of a product's life cycle?

According to the PLC theory, what is the most likely reason that companies manufacture products in locations with high labor rates during the introductory...

According to the PLC theory, at an early stage of a product's lifecycle, the product is likely to be made in a more ________ method than in its later stages.

According to the PLC theory, at an early stage of a product's lifecycle, the product is likely to be made in a more ________ method than in its later...

According to the product life cycle theory, production and sales are primarily domestic in the introductory stage because of ________.

According to the product life cycle theory, production and sales are primarily domestic in the introductory stage because of ________. A) businesses...

Which of the following statements is most likely FALSE?

Which of the following statements is most likely FALSE?  A) Developing countries trade mainly with developed countries. B) Developed countries...

Why is the United States both an exporter and importer of such products as vehicles and passenger aircraft?

Why is the United States both an exporter and importer of such products as vehicles and passenger aircraft? A) Buyers procure similar products for...

One way that developed countries specialize in order to gain acquired advantages is by ________.

One way that developed countries specialize in order to gain acquired advantages is by ________. A) allocating research efforts more heavily in specific...

Most world trade takes place ________.

Most world trade takes place ________. A) between developed countries and developing countries B) among developed countries C) among developing countries D)...

Tests to substantiate the factor proportions theory have had mixed results most likely because of ________.

Tests to substantiate the factor proportions theory have had mixed results most likely because of ________. A) labor migration quickly outdates...

El Salvador has a population density of about 620 people per square mile and neighboring Honduras a population density of about 115 people per square mile. According to the factor proportions theory of trade, one would expect El Salvador's exports to Honduras to ________.

El Salvador has a population density of about 620 people per square mile and neighboring Honduras a population density of about 115 people per square...

The trade theory that says countries should concentrate production on those products using their most abundant production factors is the ________.

The trade theory that says countries should concentrate production on those products using their most abundant production factors is the ________. A)...

Eight of the top 10 exporting and importing countries are countries with ________.

Eight of the top 10 exporting and importing countries are countries with ________. A) cheap labor forces B) small land masses C) natural advantages D)...

Countries with large land areas are generally less dependent on trade than countries with small land areas because of ________.

Countries with large land areas are generally less dependent on trade than countries with small land areas because of ________. A) highly restricted...

Countries with varied climates and varied natural resources generally ________ than countries with less varied climates and natural resources.

Countries with varied climates and varied natural resources generally ________ than countries with less varied climates and natural resources. A)...

Nontradable goods are best defined as ________.

Nontradable goods are best defined as ________. A) products and services for which exporting costs are excessive B) factors of production that exceed...

The free trade theories of specialization primarily assume that ________.

The free trade theories of specialization primarily assume that ________. A) domestic resources are unable to move from the production of one good...

The free trade theories of specialization primarily assume that ________.

The free trade theories of specialization primarily assume that ________. A) specialization leads to unemployment, but production gains compensate...

Which of the following assumptions was made in the original theories of absolute and comparative advantage?

Which of the following assumptions was made in the original theories of absolute and comparative advantage? A) Specialized labor seeks efficiency. B)...

Assume the following conditions: In the United States, it takes 4 units of resources to produce a ton of potatoes and 5 to produce a ton of coal. In Canada, it takes 6 units of resources to produce a ton of potatoes and 10 to produce a ton of coal. According to the theory of comparative advantage, ________.

Assume the following conditions: In the United States, it takes 4 units of resources to produce a ton of potatoes and 5 to produce a ton of coal. In...

According to the theory of comparative advantage, a country gains from foreign trade even though it may have an absolute advantage in the production of all products because of ________.

According to the theory of comparative advantage, a country gains from foreign trade even though it may have an absolute advantage in the production...

The comparative advantage theory holds that a country will gain from trade ________.

The comparative advantage theory holds that a country will gain from trade ________. A) when it exports products for which it has an acquired advantage...

Comparative advantage differs from absolute advantage in that the former ________, whereas the latter ________.

Comparative advantage differs from absolute advantage in that the former ________, whereas the latter ________. A) holds that countries should specialize...

Assume the following conditions: In the United States, it takes 5 units of resources to produce a ton of potatoes and 10 to produce a ton of coal. In Canada, it takes 6 units of resources to produce a ton of potatoes and 9 to produce a ton of coal. According to the theory of absolute advantage, ________.

Assume the following conditions: In the United States, it takes 5 units of resources to produce a ton of potatoes and 10 to produce a ton of coal. In...

As a leading exporter of luxury automobiles, Germany has built a strong reputation in engineering. Germany's trade most likely relies on a(n) ________.

As a leading exporter of luxury automobiles, Germany has built a strong reputation in engineering. Germany's trade most likely relies on a(n) ________.  A)...

Which of the following is most likely a basis for a Jamaican natural advantage in international trade?

Which of the following is most likely a basis for a Jamaican natural advantage in international trade?  A) product technology developed by a...

According to Adam Smith's theory of absolute advantage, specialization allows countries to increase their efficiency for each of the following reasons EXCEPT ________.

According to Adam Smith's theory of absolute advantage, specialization allows countries to increase their efficiency for each of the following reasons...

Neomercantilism describes the approach of countries that try to run a favorable balance of trade to ________.

Neomercantilism describes the approach of countries that try to run a favorable balance of trade to ________. A) build up gold reserves B) achieve...

Which of the following UNDESIRABLE results will most likely occur for a country running a favorable balance of trade?

Which of the following UNDESIRABLE results will most likely occur for a country running a favorable balance of trade?  A) higher unemployment B)...

Under mercantilism, governments sought to influence trade by ________.

Under mercantilism, governments sought to influence trade by ________. A) establishing bilateral trading agreements with other countries B) limiting...

The trade theory that says a country should export more than it imports is known as ________.

The trade theory that says a country should export more than it imports is known as ________. A) mercantilism B) absolute advantage C) comparative...

All countries face the questions of what, how much, and with whom they should import and export. How they answer these questions primarily affects whether ________.

All countries face the questions of what, how much, and with whom they should import and export. How they answer these questions primarily affects whether...

Which of the following statements about Costa Rica and its approach to trade and factor-mobility strategy is true?

Which of the following statements about Costa Rica and its approach to trade and factor-mobility strategy is true? A) Costa Rica decided to select...

In the text, Costa Rica devised a strategic trade policy to accomplish what goals?

In the text, Costa Rica devised a strategic trade policy to accomplish what goals? A) attract industries that promised high growth and higher wages B)...

Factor mobility refers to the movement of which of the following combinations?

Factor mobility refers to the movement of which of the following combinations?  A) capital, technology, and people B) currency, profits and raw...