Discussio:
True or False and Explain: Does "Cheap" foreign labor pose a serious danger to high-wage economies either in the form of reducing wages and or increasing unemployment?
Assignment
1. Why are production Possibilities Curves PPC often bowed outward from the origin? (return to Chapter 2 to answer this question).
2. What is meant by the Consumption Possibilities of a country? How are Consumption Possibilities related to Production Possibilities in a closed economy? In an open economy? (Use the following Link to answer this Question) https://www.colorado.edu/Economics/courses/econ2020/section2/section2-main.html
3. True or False and Explain: If a country is more productive in every sector than a neighboring country, then there is no benefit in trading with a neighboring country. (return to Chapter 2 to answer this question)
4. Explain the effects of a tariff and a quota placed on imported automobiles on a domestic market. Who is hurt with a tariff or a quota and why? Who benefits and why? Use the following link to answer this question: https://economics.about.com/cs/taxpolicy/a/tariffs_quotas.htm