According to David Ricardo's Principle of Comparative Advantage, the Gains

question 17

Multiple Choice

According to David Ricardo's principle of comparative advantage, the gains from international trade can be reaped

• A)only by developed countries.
• B)only by a country with an absolute advantage in the production of some commodity.
• C)by any country with opportunity costs different from other countries.
• D)by any trading country with opportunity costs similar to other countries.
• E)by only one country if opportunity costs are identical across countries.

---

Definitions:

Discrimination

Unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, gender, or disability.

Spontaneous Recovery

The unexpected return of a learned behavior after its apparent extinction, highlighting the persistence of memory traces.

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with an unconditioned stimulus, triggers a conditioned response.

Conditioned Response

A learned reaction to a conditioned stimulus that occurs because of previous conditioning.