問題一覧
1
Figure 18.3 depicts the supply curve in the exporting country and the demand curve in the importing country in a market for a traded good. Assume that the good is produced exclusively in the exporting country and consumed exclusively in the importing country. Based on this information, which of the following statements is correct?
The price gap represents the trade costs, such as transportation costs and trade taxes.
2
Figure 18.6 is a graph of an index that represents trade costs. A higher index represents higher trade costs and less globalization. Based on this information, which of the following statements are correct?
Attempts by countries to address their unemployment problems after the 1929 Great Depression seem to have led to a decline in globalization.
3
Figure 18.6 is a graph of an index that represents trade costs. A higher index represents higher trade costs and less globalization. Based on this information, which of the following statements are correct?
The graph suggests that commodity market integration over the past 150 years was one of interrupted integration.
4
Which of the following statements regarding current accounts is correct, ceteris paribus?
An increase in the official aid payment sent to other countries means a lower current account.
5
Figure 18.11 depicts the level of immigration into the US as a percentage of the change in the US population. Based on this information, which of the following statements is correct?
In the decade prior to the First World War, the number of immigrants was higher than the number of births minus the number of deaths.
6
The following diagram shows Carlos’ and Greta’s feasible production frontiers and their utility-maximizing choices of consumption between wheat and apples under autarky (no trade). Based on this information, which of the following statements is correct?
Greta can consume 3,750 apples and 2,500 tonnes of wheat but will choose not to do so.
7
Figure 18.18 depicts the feasible frontier and the consumption frontier of Carlos and Greta if they specialize and trade. The resulting relative price of wheat is assumed to be 2. Let the resulting consumption be at A and B, respectively, for Greta and Carlos. Then which of the following statements is correct?
Carlos trades 4,000 of his apples for 2,000 tonnes of Greta’s wheat.
8
The following diagram shows Alex’s and Jose’s feasible production frontiers for oranges and melons.Based on this information, which of the following statements are correct?
Jose has an absolute advantage in the production of both melons and oranges.
9
The following diagram shows Alex’s and Jose’s feasible production frontiers for oranges and melons. Based on this information, which of the following statements are correct?
With trade and specialization, Jose will specialize in the production of oranges while Alex will specialize in the production of melons.
10
Figure 18.20 is a diagram that describes the effects of trade on the employers and the workers in the US and China. The initial size of each economy is normalized to one. The US has the comparative advantage in the capital-intensive goods, while China has the comparative advantage in the labour-intensive goods. As a result of trade the US’s economy is assumed to grow by 30% and that of China by 40%. Based on this information, which of the following statements is correct?
In the US, the employers are better off while the workers are worse off as a result of trade.
11
Figure 18.21 is the long-run labour market model for the US as a result of specialization according to its comparative advantage. The US has a comparative advantage in the production of capital-intensive aircraft, while China, its trade partner, has a comparative advantage in the production of labour-intensive consumer electronics. Before trade, the German labour market equilibrium is at A. Which of the following statements are correct?
With lower unemployment, workers demand higher wages for high effort, resulting in a higher price-setting curve.
12
Figure 18.21 is the long-run labour market model for the US as a result of specialization according to its comparative advantage. The US has a comparative advantage in the production of capital-intensive aircraft, while China, its trade partner, has a comparative advantage in the production of labour-intensive consumer electronics. Before trade, the German labour market equilibrium is at A. Which of the following statements are correct?
With the rise in productivity, the firms expand employment resulting in a lower unemployment rate.
13
Figure 19.1 shows the inequality in wealth, earnings, and disposable income in the US, Sweden, and Japan using the Gini coefficient. Based on this information, which of the following statements are correct?
Wealth is much more unequally distributed than earnings in all three countries.
14
Figure 19.1 shows the inequality in wealth, earnings, and disposable income in the US, Sweden, and Japan using the Gini coefficient. Based on this information, which of the following statements are correct?
Sweden attains its relatively equal disposable income distribution through its system of taxes and transfers.
15
In Thomas Piketty’s ‘Economist in action’ video, which of the following were NOT among the reasons that Piketty gave for the fall in the incomes of the very rich during the twentieth century?
the Russian Revolution
16
Figure 19.6 is a scatterplot of occupations for the US economy, with the 2015 mean hourly wages on the vertical axis and the 2014–24 projected job growth on the horizontal axis: Based on this information, which of the following statements is correct?
The high wage occupations with projected job growth are either in human services or occupations in which digital information processing has greatly increased the productivity of high skill workers.
17
Figure 19.10 shows the proportion of children in earnings quantile conditional on their father’s earnings quantile in the US and Denmark, respectively. Based on this information, which of the following statements is correct?
In the US, 7.4% of those from the poorest 20% of families managed to move up to become part of the richest 20%.
18
Figure 19.15 shows the feasible frontier of the incomes of the rich and the poor. Which of the following statements is correct?
Between D and F, lower income for the poor leads also to lower income for the rich.
19
Which of the following statements are correct?
Endowments are facts about an individual that may affect his or her income.
20
Which of the following statements regarding segmented labour markets are correct?
The ‘gig economy’ is not part of the primary labour market.
21
According to our ‘Economist in action’ video of Arin Dube, which of the following was a finding of his study of the minimum wage increase?
There was a minimal negative effect on employment.
22
Watch our ‘Economist in action’ video of James Heckman. According to Heckman, which of the following individual attributes are NOT among the reasons for persistent poverty in a family from generation to generation?
inherited IQ
23
Which of the following statements is correct regarding policies on inequality?
Providing high-quality education to citizens is a way of raising the endowments of less well off people.
24
Which of the following statements regarding innovation is correct?
Innovation comprises of both invention and diffusion.
25
Which of the following statements is correct regarding the Silicon Valley and German innovation systems?
The successes of Silicon Valley and German innovation systems are both due to the relationships among all of the actors (owners, employees, governments and financiers) that promote innovation.
26
The following matrix shows the payoffs for two firms according to whether they innovate or not. The first number is the payoff for firm A while the second number is for firm B. Based on this information, which of the following statements is correct?
Firm A will choose to innovate if the probability of Firm B investing is 75% or less.
27
Figure 21.8 shows the cost curves for a firm producing a knowledge-intensive good. The marginal cost is constant at $1 for all output Q. Based on this information, which of the following statements is correct?
With positive first copy cost and constant marginal cost, the firm’s average cost will always be above its marginal cost.
28
Figure 21.11a shows a hypothetical market for Airbnb, a service that connects travellers looking for short-term apartment rentals with owners looking to rent out their home while they are away. Based on this information, which of the following statements is correct?
An initial number of 2,000 seekers and 800 posters would result in an equilibrium of 1,800 seekers and 700 apartments posted.
29
Which of the following statements is correct regarding laws protecting intellectual property rights?
Trademarks give the owners of a registered design the right to exclude others from using it.
30
Figure 21.13 depicts the costs and rents associated with innovation for the inventor and others. Based on this diagram, which of the following statements is correct?
At the point that the patent expires, the patent owner ‘falls off a patent cliff’ where they lose innovation rents.
31
The following diagram depicts the probability of innovation as the duration of patents is increased. Based on this information, which of the following statements is correct?
The downward sloping part of the graph demonstrates the trade-off between greater incentive to innovate from higher innovation rent income and the disincentive for potential innovators from using patented knowledge.
32
Which of the following policies promote efficient innovation processes?
subsidizing the supply of inputs to innovation, such as public infrastructure, research and education, to alleviate the coordination problem of complementary innovations
33
Which of the following policies promote efficient innovation processes?
establishing a patent system to address high first copy costs of knowledge-intensive innovations
34
Which of the following statements are correct regarding public policies for innovation?
The government could support innovation by setting up a scheme that awards a prize for successful development of a solution to a specific problem.
35
Which of the following statements are correct regarding public policies for innovation?
The government can fund early-stage research, through government agencies such as the military or universities, that can then be used for commercial applications.