Comparative Advantage Implies That a Country Will

question 158

Multiple Choice

Comparative advantage implies that a country will

• A) export goods produced by domestic industries with low wages relative to its trading partners.
• B) import those goods in which the country has a comparative advantage.
• C) find it difficult to conclude free trade agreements with other nations.
• D) export those goods in which the country has a comparative advantage.

---

Definitions:

Carbon Cycle

The series of processes by which carbon compounds are interconverted in the environment, chiefly involving the incorporation of carbon dioxide into living tissue by photosynthesis and its return to the atmosphere through respiration, the decay of dead organisms, and the burning of fossil fuels.

Decomposer

Organism, usually a bacterium or fungus, that breaks down organic matter into inorganic nutrients that can be recycled in the environment.

Mushroom

A type of fungus characterized by a cap and stem, with many species producing edible or medicinal fruiting bodies.

Herbivore

Primary consumer in a grazing food chain; a plant eater.