国际经济学chap4(答案).doc

Chap 4.1, Which of the following assumptions of H-O Theory is true: a. nations have the same tastes and preferences b. they use factor inputs that are of uniform quality c. they use the same technologyd. all of the above 2. If the terms of trade of a nation are 1.5 in a two-nation world, those of the trade partner are: a. 3/4 b. 2/3 c. 3/2 d. 4/3 3. If the terms of trade increase in a two-nation world, those of the trade partner: a. deteriorate b. improve c. remain unchanged d. any of the above4. If the nations tastes for its import commodity increases: a. the nations terms of trade remain unchanged b. the nations terms of trade deteriorate c. the partners terms of trade deteriorate d. any of the above 5. If the tastes for a nation import commodity increases, the relative prices of this nation will be: a. increases b. declines c. remains unchanged d. any of the above 6. A deterioration of a nations terms of trade causes the nations welfare to: a. deteriorate b. improve c. remain unchanged d. any of the above 7*. The equilibrium price and quantity for a commodity traded between two nations occurs where a. the slopes of the two offer curves are the same. b. the two offer curves intersect c. the slopes of the two offer curves is equal to zero d. the price ratio of good X for good Y is equals one. 8*. Suppose nation 1 is an importer of good X. In a general equilibrium framework, an increase in the demand for good Y will a. decreased the price of good X and increase the volume of imports of good X b. decreased the price of good X and decrease the volume of imports of good X c. increase the price of good X and increase the volume of imports of good X d. increase the price of good X and decrease the volume of imports of good X 9. Suppose nation 1 is an importer of good X. In a general equilibrium framework, an increase in the cost of producing good X in nation 2 will a. decreased the price of good X and increase the volume of imports of good X b. decreased the price of good X and decrease the volume of imports of good X c. increase the price of good X and increase the volume of imports of good X d. increase the price of good X and decrease the volume of imports of good X10. The H-O model extends the classical trade model by: a. explaining the basis for comparative advantage b. examining the effect of trade on factor prices c. both a and b d. neither a nor b 11. Which is not an assumption of the H-O model? a. the same technology in both nations b. constant returns to scale c. complete specialization d. equal tastes in both nations 12. With equal technology nations will have equal K/L in production if: a. factor prices are the same b. tastes are the same c. PPFs are the same d. all of the above 13. We say that commodity Y is K-intensive with respect to X when: a. more K is used in the production of Y than X b. less L is used in the production of Y than X c. a lower L/K ratio is used in the production of Y than X d. a higher K/L is used in the production of X than Y 14. When w/r falls, L/K a. falls in the production of both commodities b. rises in the production of both commodities c. can rise or fall d. is not affected 15. A nation is said to have a relative abundance of K if it has a: a. greater absolute amount of K b. smaller absolute amount of L c. higher L/K ratio d. lower r/w16. A difference in relative commodity prices between nations can be based on a difference in: a. technology b. factor endowments c. tastes d. all of the above 17. In the H-O model, international trade is based mostly on a difference in: a. technology b. factor endowments c. economies of scale d. tastes 18. According to the H-O model, trade reduces international differences in: a. relative but not absolute factor prices b. absolute but not relative factor prices c. both relative and absolute factor prices d. neither relative nor absolute factor prices 19. According to the H-O model, international trade will: a. reduce international differences in per capita incomes b. increases international differences in per capita incomes c. may increase or reduce international differences in per capita incomes d. lead to complete specialization 20. The H-O model is a general equilibrium model because it deals with: a. production in both nations b. consumption in both nations c. trade between the two nations d. all of the above 21. The H-O model is a simplification of a truly general equilibrium model because it deals with: a. two nations b. two commodities c. two factors of production d. all of the above22. The Leontief paradox refers to the empirical finding that U.S. a. import substitutes are more L-intensive than exports b. imports are more K-intensive than exportsc. exports are more K-intensive than imports d. exports are more K-intensive than import substitutes23*. From empirical studies, we conclude that the H-O theory: a. must be rejected b. must be accepted without reservations c. can be accepted while awaiting further testing d. explains all international trade24. The factor price equalization theorem states that international trade will bring about equalization in a. relative returns only b. absolute returns only c. both relative and absolute returns d. neither absolute nor relative returns 25. International trade will _ the price of a nations abundant resources and _ the price of a nations scarce resources a. increase; increase b. decrease; decrease c. decrease; increase d. increase; decrease 26. One potential reasonable explanation for the Leontief paradox is that a. The U.S. exports capital intensive goods b. U.S. labor is more productive than its foreign counterpart c. U.S. tastes were biased strongly in favor of capital intensive goods d. The two factor model that was used was incomplete27. According to the factor price equalization theorem a nation that has a relative capital abundance should specialize in goods that are _ intensive resulting in an increase in the price of _. a. capital; capital b. capital; labor c. labor; capital d. labor; labor28. Which of the following theories is based on the demand conditions.a. Overlapping Demand Theory b. Comparative Advantage Theoryc. Product Life Cycle Theory d. H-O Theoryshort answers31. How does the H-O theory differ from Ricardo theory in explaining international trade patterns?Ricardo theory assumed only one factor (labor) ruled out the trade effects and explained that the difference of commodities prices is the reason why trade occurred, the H-O theory explained trade by differences in relative national supply conditions, even the theory highlights the role of nations resource endowment as the key determinant of comparative advantage. A nation will export that commodity for which a large amount of the relatively abundant input is used, it will import that commodity in the production of which the relatively scare input is used. 32. According to Staffan Linder, there are two explanations of international trade patternsone for manufactures and another for primary (agricultural) goods. Explain!Linder considered that the H-O theory has explanatory power for trade in primary goods, natural resources and agricultural goods, not for trade in manufactured goods, because the main force influencing manufactured good trade is domestic demand conditions. Based on similar preferences, wealthy nations will likely trade with other wealthy nations, and poor nations will likely trade with other poor nations. 33. How can economies of scale production affect world trade patterns?Economies of scale is that a large organization may reduce costs by specializing in machinery and labor, and under this condition the PPF shape is convex to origin.The countries with economies of scale refer to the production situation where output grows proportionately more than the increase in inputs or factors of production. That means the reduction in the average costs of production as the firms output expands, thus the nation can export this kind of commodity for its comparative advantage. 34. Distinguish between intra-industry trade and inter-industry trade, what are some major determinants of intra-industry trade?The inter-industry trade means the exchange between nations of products of different industries, it involves of different factor endowments. But intra-industry trade means the flows of goods with similar factor requirements, nations that are net exporters of manufactured goods embodying sophisticated technology also purchase such goods from other nations. Intra-industry trade includes trade in homogeneous goods as well as in differentiated products, and intra-industry trade increases the range of choices available to consumers as well as the degree of competition among manufactures of the same class of product in each nation. Essay 35. Try to draw the figure that vertical axis shows the wage ratio, which equals the wage of skilled workers divided by the wage of unskilled works; Horizontal axis shows that the labor ratio, which equals to the quantity of skilled workers available divided by the quantity of unskilled works. Suppose that supply curve of skilled workers relative to unskilled workers is fixed and denoted by S0, the demand curve for skilled workers relative to unskilled workers is denoted by D0. Explain that how the following three factors will affect wage inequality for U.S.(1) International trade and tec