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Australia Has a Comparative Advantage in the Production of Coal

question 45

True/False

Australia has a comparative advantage in the production of coal and other resources, therefore Australia should completely specialise in the production of these goods.


Definitions:

Pollution Abatement

Actions taken to reduce, control, or eliminate pollution from a given source.

Marginal Benefit

The enlarged happiness or benefit achieved from consuming an extra unit of a good or service.

Marginal Cost

The cost added by producing one additional unit of a product, emphasizing the variations in expenses as production scales.

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