Chap. 3

quiz3

1、单选题:
‏Which of the following is not a reason for increasing opportunity costs:​
选项:
A:  technology differs among nations
B: factors of production are not homogeneous
C: factors of production are not used in the same fixed proportion in the production of all commodities
D:  for the nation to produce more of a commodity, it must use resources that are less and less suited in the production of the commodity
答案: 【  technology differs among nations

2、单选题:
‎The marginal rate of substitution (MRS) of X for Y in consumption refers to the:‍
选项:
A: amount of X that a nation must give up for one extra unit of Y and still remain on the same indifference curve
B: amount of Y that a nation must give up for one extra unit of X and still remain  on the same indifference curve
C: amount of X that a nation must give up for one extra unit of Y to reach a higher indifference curve 
D: amount of Y that a nation must give up for one extra unit of X to reach a higher indifference curve
答案: 【 amount of Y that a nation must give up for one extra unit of X and still remain  on the same indifference curve

3、单选题:
‎Nation 1's share of the gains from trade will be greater:‍
选项:
A:  the greater is nation 1's demand for nation 2's exports
B: the closer Px/Py with trade settles to nation 2's pretrade Px/Py
C:  the weaker is nation 2's demand for nation 1's exports
D: the closer Px/Py with trade settles to nation 1's pretrade Px/Py
答案: 【 the closer Px/Py with trade settles to nation 2's pretrade Px/Py

4、单选题:
 A production frontier that is concave from the origin indicates that the nation incurs‏‎      increasing opportunity costs in the production of:‏‎‏
选项:
A: commodity X only
B: commodity Y only
C: both commodities
D: neither commodity
答案: 【 both commodities

5、单选题:
​Community indifference curves:‌
选项:
A: are negatively sloped
B: are convex to the origin
C: should not cross
D: all of the above
答案: 【 all of the above

6、单选题:
‍With free trade under increasing costs:‌
选项:
A: neither nation will specialize completely in production
B: at least one nation will consume above its production frontier
C: a small nation will always gain from trade
D: all of the above
答案: 【 all of the above

7、单选题:
‍Which of the following is not true for a nation that is in equilibrium in isolation?‎
选项:
A:  it consumes inside its production frontier
B: it reaches the highest indifference curve possible with its production frontier
C: the indifference curve is tangent to the nation's production frontier
D: MRT of X for Y equals MRS of X for Y, and they are equal to Px/Py
答案: 【  it consumes inside its production frontier

8、单选题:
‍Which of the following statements is true with respect to the MRS of X for Y:​
选项:
A: It is given by the absolute slope of the indifference curve
B: declines as the nation moves down an indifference curve
C: rises as the nation moves up an indifference curve
D: all of the above
答案: 【 all of the above

9、单选题:
​If the internal Px/Py is lower in nation 1 than in nation 2 without trade:‏
选项:
A: nation 1 has a comparative advantage in commodity Y
B: nation 2 has a comparative advantage in commodity X
C: nation 2 has a comparative advantage in commodity Y
D: none of the above
答案: 【 nation 2 has a comparative advantage in commodity Y

10、单选题:
‌Which of the following statements about community indifference curves is true?​
选项:
A:  They are entirely unrelated to individuals' community indifference curves
B:  they cross, they cannot be used in the analysis
C: the problems arising from intersecting community indifference curves can be overcome by the application of the compensation principle
D: all of the above.
答案: 【 the problems arising from intersecting community indifference curves can be overcome by the application of the compensation principle

Test

1、单选题:
​With free trade under increasing costs:‌
选项:
A: neither nation will specialize completely in production
B: at least one nation will consume above its production frontier
C: a small nation will always gain from trade
D: all of the above
答案: 【 all of the above

2、单选题:
A production frontier that is concave from the origin indicates that the nation incurs‍‎      increasing opportunity costs in the produ

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