In China, Many Farmers Have Switched from Producing Rice to Producing

question 44

Multiple Choice

In China, many farmers have switched from producing rice to producing vegetables and fruit because they can earn a great deal more money from these specialty crops. Within China, there are some who applaud this change, but others worry that China soon may become dependent on rice imports. Even with the low cost of Chinese labor, does the fact that China is importing rice suggest that other countries now have a comparative advantage in rice production?

• A) No, China must have a comparative advantage in rice if it imports rice.
• B) Yes, but only if there are other countries with even cheaper labor.
• C) Yes, countries with more expensive labor can offset that cost with abundant land and farm equipment.
• D) Maybe, because rice is a standardized product, the role of innovation and creativity in its production is important.

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Definitions:

Closeness

The intimacy or degree of proximity and understanding between individuals, fostering strong bonds or relationships.

Intimacy

A near and dear relationship characterized by affection or love with another individual or a group.

Passion

An emotional state characterized by high bodily arousal, such as increased heart rate and blood pressure.

Commitment

The state or quality of being dedicated to a cause, activity, or relationship, often demonstrated through consistent actions and investment over time.