The Ricardian Two-Country, Two-Good Model Predicts That There Are Potential

question 38

Multiple Choice

The Ricardian two-country, two-good model predicts that there are potential benefits from trade, but NOT

• A) when both countries have the same types of technology available.
• B) when one country has significantly lower wages than the other country.
• C) the mechanism that determines which country will specialize in which good.
• D) the effect of trade on income distribution.
• E) when one country has an absolute advantage in the production of both goods.

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Definitions:

Peter Drucker

A renowned management consultant, educator, and author, considered the father of modern management.

Delegation

The assignment of responsibility and authority to someone else while retaining ultimate accountability.

Accountable

Being responsible for one's actions and the outcomes of those actions, often involving an obligation to report, explain, or justify them.

Good Management

Refers to the process of effectively planning, organizing, leading, and controlling resources and tasks to achieve organizational goals.