International Economics: Theory and Policy, 11e, Global Edition (Krugman et al.)

Chapter 1   Introduction

 

1.1   What Is International Economics About?

 

1) Historians of economic thought often describe ________ written by ________ and published in ________ as the first real exposition of an economic model.

1. A) “Of the Balance of Trade,” David Hume, 1776
2. B) “Wealth of Nations,” David Hume, 1758
3. C) “Wealth of Nations,” Adam Smith, 1758
4. D) “Wealth of Nations,” Adam Smith, 1776
5. E) “Of the Balance of Trade,” David Hume, 1758

Answer:  E

Page Ref: 29

Difficulty:  Easy

 

2) From 1950 to 2015

1. A) the U.S. economy roughly tripled in size.
2. B) U.S. imports roughly tripled in size.
3. C) the share of U.S. trade in the global economy roughly tripled in size.
4. D) U.S. imports roughly tripled as compared to U.S. exports.
5. E) U.S. exports roughly tripled in size.

Answer:  C

Page Ref: 29

Difficulty:  Easy

 

3) The United States is less dependent on trade than most other countries because

1. A) the United States is a relatively large country with diverse resources.
2. B) the United States is a “Superpower.”
3. C) the military power of the United States makes it less dependent on anything.
4. D) the United States invests in many other countries.
5. E) many countries invest in the United States.

Answer:  A

Page Ref: 30

Difficulty:  Easy