The United States signs a free trade agreement with another country that has dramatically different resources. How would this trade treaty affect the United States?
(1 point)
Responses
Businesses will most likely not offer a variety of products.
Businesses will most likely not offer a variety of products.
Consumers will face higher prices as trade deficits increase.
Consumers will face higher prices as trade deficits increase.
Industries will increasingly focus on using interdependence.
Industries will increasingly focus on using interdependence.
Producers will be put out of business as more interesting products enter the market.
How would supply shift caused by lower costs of production affect price and quantity?
(1 point)
Responses
higher price, lower quantity
higher price, lower quantity
lower price, lower quantity
lower price, lower quantity
lower price, higher quantity
lower price, higher quantity
higher price, higher quantity
Industries will increasingly focus on using interdependence.
lower price, higher quantity
What does a relative price compare?
(1 point)
Responses
the price different sellers ask for the same good
the price different sellers ask for the same good
the price that buyers pay to the price that sellers ask
the price that buyers pay to the price that sellers ask
the price of one good or service to another
the price of one good or service to another
the price that a seller wants to pay to the price that the seller actually pays
the price of one good or service to another
How does scarcity affect customers?
(1 point)
Responses
Limited money forces consumers to make choices.
Limited money forces consumers to make choices.
Limited time prevents customers from making decisions.
Limited time prevents customers from making decisions.
Limited numbers of producers force customers to be loyal.
Limited numbers of producers force customers to be loyal.
Limited wants and needs limit customers to small purchases.