Macroeconomics
Macroeconomics – Week #2 Assignment
Demand and Supply Exercises
Directions: Fill in the boxes (QD, QS, D, S, P, Q) in the next three demand and supply exercises.
Based upon the event, what can we expect to occur for the market? Use a “0” (zero) if nothing will
occur for that particular variable, a “+” (plus) if an increase, or a “-“ (negative) if a reduction. QD
stands for Quantity Demanded, QS for Quantity Supplied, D for Demand, S for Supply, P for Price,
and Q for Quantity.
Click here for the editable version of this assignment.
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Macroeconomics – Week #1 Assignment
Absolute and Comparative Advantage
Use the table below to answer the questions concerning absolute and comparative advantages.
Lumber Automobiles
United States
8
8
Canada
4
2
1. Which country has an absolute advantage in producing lumber?
2. Which country has an absolute advantage in producing automobiles?
3. Which country has a comparative advantage, if any, in producing lumber?
4. Which country has a comparative advantage, if any, in producing automobiles?
5. Should the U.S. trade with Canada? If so, what should be imported and what should be
exported?
6. Should Canada trade with the U.S.? If so, what should be imported and what should be
exported?
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