Surplus: Increase in QD. Decrease in QS. Shortage: Decrease in QD. Increase in QS. GDP Deflator: compares the price of currently produced goods and services to the price of the same goods and service in the same base year. Equilibrium price raise: If demand increases while supply falls-equ...
absolute advantage ability to produce more than the other country comparative advantage ability to produce at the lower opportunity cost if exports are greater than imports there is a trade surplus if exports are less than imports there is a trade deficit trade restrictions -tariff (tax on imports...