Question

The trade theory that says the government should work to maintain and maximize a trade surplus is known as ________.

Group of answer choices

mercantilism

absolute advantage

comparative advantage

import substitution

_____________________________

Which one of the following is consistent with "mercantilism"?

Group of answer choices

establishing bilateral trading agreements with other countries

limiting exports

limiting imports and subsidizing exports

encouraging the development of manufacturing in their colonies

__________________________________________________

The campaign slogan "Buy American" is an example of which of the following?

Group of answer choices

neomercantilism

comparative advantage

import substitution

____________________________

According to Adam Smith's theory of absolute advantage, only _______ countries should export.

Group of answer choices

poor

wealth

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Question 51 pts

In the 1980s, Japanese automakers developed sophisticated manufacturing techniques and became a major exporter . Japan's trade most likely relies on a(n) ________.

Group of answer choices

outward immigration restriction

natural advantage

acquired advantage

neomercantilist policy

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Question 61 pts

Assume the following conditions: In the United States it takes 4 units of resources to produce a ton of potatoes and 4 to produce a ton of coal. In Canada it takes 3 units of resources to produce a ton of potatoes and 6 to produce a ton of coal. According to the theory of absolute advantage, ________.

Group of answer choices

the United States should export potatoes to Canada and import coal from Canada

the United States should export coal to Canada and import potatoes from Canada

the United States should import both potatoes and coal from Canada, while concentrating on production of more valuable goods

there would be no basis for trade

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Question 71 pts

Assume the following conditions: In the United States it takes 4 units of resources to produce a ton of potatoes and 4 to produce a ton of coal. In Canada it takes 3 units of resources to produce a ton of potatoes and 6 to produce a ton of coal. According to the theory of comparative advantage, ________.

Group of answer choices

the United States should export potatoes to Canada and import coal from Canada

the United States should export coal to Canada and import potatoes from Canada

the United States should import both potatoes and coal from Canada, while concentrating on production of more valuable goods

there would be no basis for trade

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Question 81 pts

Although Americans generally do not use chopsticks, the United States produces and exports chopsticks because of abundant lumber. This can be explained by which of the following?

Group of answer choices

factor proportions theory

theory of comparative advantage

theory of absolute advantage

theory of nontradable goods

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Question 91 pts

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?

Group of answer choices

Many consumers are willing to pay high costs for the newest products.

Transportation costs are reduced by focusing on markets in developed countries.

Import restrictions prevent production in countries other than the ones making product innovations.

Answer 1

Hi! Welcome to Chegg!

Due to presence of Chegg policy, I am answering first 2 questions.

1.

Ans: mercantilism.

Explanation:

Under mercantilism, government tries to maximize net exports in any way possible to achieve maximum trade surplus. It tries to reduce imports and promotes exports.

2.

Ans: limiting imports and subsidizing exports.

Explanation:

Under mercantilism, government tries to maximize net exports in any way possible to achieve maximum trade surplus. It tries to reduce imports and promotes exports.

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