Refer to the graph shown.
If Countries X and Y face the production possibility curves A and B, respectively, Country X has a comparative advantage in the production of:
A. agricultural goods only.
B. neither agricultural goods nor industrial goods.
C. industrial goods only.
D. both agricultural goods and industrial goods.
Answer: C
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South Africa is a major wine producer. As Americans become more familiar with those wines and show an increased preference for them, an increased __________ the South African rand will cause the dollar to __________ relative to the rand
A) demand for; depreciate B) demand for; appreciate C) supply of; depreciate D) supply of; appreciate
How much cloth production would Wendy forfeit in a day in order to produce 6 pounds of food?
a. 3 yards
b. 2 yards
c. 1 yard
d. 1/2 yard
All other things unchanged, a tax on a product that leads to an increase in the cost of production would:
A) lead to an increase in supply. B) lead to a decrease in demand. C) result in an increased price. D) lead to a decrease in supply.
Describe R&D expenditures in the United States. What percentage of spending goes for invention, innovation, and diffusion?
What will be an ideal response?