If the domestic demand and domestic supply for shirts in a small country are given as and if the international price of shirts is 2 units, then the country will
Tap an option to check your answer.
0 marksInternational EconomicsTheories of international tradeSpecialisation and the gains from tradeModerateabout 2 min
JNU SIS 2021 Question 36: Theories of international trade
Answer and worked solution
Checking your account…
Plain-text version
If the domestic demand and domestic supply for shirts in a small country are given as Q_D = 11 - 2P Q_S = -1 + 2P and if the international price of shirts is 2 units, then the country will (A) Export 2 shirts (B) Import 2 shirts (C) Export 4 shirts (D) Import 4 shirts
Theories of international trade has come up 151 times in 6 exams since 2006.
What this question tests
This question is on Specialisation and the gains from trade, part of Theories of international trade in International Economics.
How specialisation raises consumption possibilities, including complete and incomplete specialisation.
TestStop has 29 past-paper questions on this subtopic.
Similar questions from other papers
- The Heckscher-Ohlin theory states that the trade arises due to difference in
- The Comparative Cost Advantage theory of International Trade is propound by:
- Which of the following is not the correct assumption of Heckscher-Ohlin theory of international trade?
- Match List-I with List-II. | List-I | List-II | A. Neo-Chamberlinian Model | I. Horizontal differentiation of products | B. Neo-Hotelling Model | II. Vertical…
- The Stolper-Samuelson theorem postulates that:
Question from the JNU SIS 2021 paper. Solutions are TestStop's own. Not affiliated with or endorsed by any examination authority.