Answered: The trade-to-GDP ratio for a nation…

The trade-to-GDP ratio for a nation that had $600M in exports, $400M in imports and GDP of $2,000M would be: O 0.1 O 0.1 O 0.5 O 0.2

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter9: Application: International Trade

Section: Chapter Questions

Problem 11PA

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Concept explainers

Comparative Advantage and Absolute Advantage Analysis

The theory of absolute advantage was given by Adam Smith in the year 1776.

Question

The trade-to-GDP ratio for a nation that had $600M in exports, $400M in imports and GDP of
$2,000M would be:
O-0.1
O 0.1
O 0.5
O 0.2

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