Suppose Two Countries Use Different Combinations of Inputs, Such as Labor

question 140

Multiple Choice

Suppose two countries use different combinations of inputs, such as labor and capital, to produce the same product.This implies any one of the following except that

• A)the two countries use different technologies to produce the product.
• B)the inputs are not equally productive in the two countries.
• C)the prices of the inputs are not the same in the countries.
• D)one country is more efficient in the production of the good than the other.

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Definitions:

Elastic Stockings

Specially designed hosiery that exerts pressure on the legs to improve blood flow, often used to prevent or treat venous disorders.

Vascular Disease

A class of diseases of the blood vessels, often leading to a reduced flow of blood to organs and tissues.

Fungal Infection

An infection caused by fungi, ranging from superficial skin conditions to more serious systemic infections.

Ringworm

A fungal infection of the skin, characterized by ring-shaped, red, itchy patches.