Which of the Following Statements Best Describes the Theory of Comparative

question 153

Multiple Choice

Which of the following statements best describes the theory of comparative advantage?

• A)The best way for a nation to ensure full employment is to be totally self-sufficient rather than relying on other nations to obtain goods and services.
• B)Each nation should produce those goods that it can produce more efficiently than other nations,and buy the goods it cannot produce efficiently from other nations.
• C)The nation that has the largest reserves of gold and other natural resources will enjoy a position of comparative advantage in trade relationships.
• D)A nation should produce those goods for which domestic demand is comparatively strong,and should import those goods for which domestic demand is comparatively weak.

---

Definitions:

Sitting Position

A posture where the weight of the body is supported by the buttocks rather than the feet and is common in many daily activities.

Metabolic Alteration

Changes in the body's metabolic processes, which can affect how it converts food and oxygen into energy.

Immobility

Inability to move about freely; caused by any condition in which movement is impaired or therapeutically restricted.

Altered Nutrient Metabolism

A change or deviation from the normal process of how the body uses nutrients, which can affect health and body function.