When trade is possible, each country can produce the goods that it has:
A. a comparative advantage at producing, rather than the exact combination of goods its consumers want.
B. an absolute advantage at producing, rather than the goods it has a comparative advantage in.
C. an absolute advantage at producing, rather than the exact combination of goods its consumers want.
D. a comparative advantage at producing, rather than the exact combination of goods its producers want.
Answer: A
You might also like to view...
A single-price monopoly faces a linear demand curve. If the marginal revenue for the second unit is $20, then the marginal revenue for the
A) first unit is less than $20. B) third unit is less than $20. C) third unit is more than $20. D) third unit is also $20. E) more information is needed to determine if the marginal revenue for the third unit is more than, less than, or equal to $20.
If there is a great deal of violence and uncertainty in the country of Crazico, people will be less willing to invest in their own future or in the future of Crazico
a. True b. False
Bill's disposable income goes from $100,000 in 2010 to $200,000 in 2011, and his consumption spending goes from $80,000 in 2010 to $140,000 in 2011 . Which of the following statements about Bill is true? a. Bill's MPC rose between 2010 and 2011. b. Bill's MPC is equal to 0.7
c. Bill's MPC is equal to 0.6. d. Both (a) and (b) are true.
To be considered employed, a person must have worked at least __________ hour(s) during the previous week
a. 40 b. 20 c. 10 d. 12 e. 1