Which of the following statements is true concerning comparative advantage?
A. Rich nations typically have a comparative advantage in the production of all goods.
B. Poor nations typically have a comparative advantage in the production of all goods.
C. Poor nations typically have a comparative advantage in high-tech but not agricultural goods.
D. Poor nations typically have a comparative advantage in agricultural but not high-tech goods.
Answer: D
You might also like to view...
Holding all other factors constant, consumers demand more of a good the
A) higher its price. B) lower its price. C) steeper the downward slope of the demand curve. D) steeper the upward slope of the demand curve.
One of the features of the circular flow model is that it shows the: a. interaction between the government and firms in the financial market
b. interaction between employers and employees in the labor market. c. interaction between households and firms in the market for goods and services. d. interaction between large business houses and households in the financial market.
If the price of a good is below the shutdown point, a perfectly competitive firm earns zero profits
a. True b. False Indicate whether the statement is true or false
The study of inflation is part of:
a. Macroeconomics b. Microeconomics c. Urban economics d. Home economics