International trade is based on the existence of

A) absolute advantage.
B) perfect advantage.
C) productivity advantage.
D) comparative advantage.


Answer: D

Economics

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The theory that regulation helps producers to maximize profit is the

A) social interest theory. B) consumer surplus theory. C) antitrust theory. D) capture theory. E) oligopoly theory of regulatory bodies.

Economics

For some investment projects, typically large-scale and long-term, such as housing construction or expansion of automobile assembly lines,

a. the interest rate has no influence on the investment decisions b. investment decisions depend directly on saving by firms in those industries c. slight changes in the interest rate rarely affect decisions d. interest charges are an important cost factor e. autonomous investment varies according to production quotas

Economics

Suppose that the supply curve remains unchanged. If the demand curve shifts to the right

A) the market clearing price definitely will decrease. B) the market clearing price definitely will increase. C) there will be no change in the market clearing price. D) the market will collapse.

Economics

The United States became a debtor nation in

A. 1975. B. 1982. C. 1985. D. 1990.

Economics