World Output Will Be Maximized If Each Country

question 49

Multiple Choice

World output will be maximized if each country:

• A)attempts to be self-sufficient.
• B)specializes in producing those goods in which it has a comparative advantage.
• C)specializes in producing those goods in which it has an absolute advantage.
• D)reduces its consumption possibilities.
• E)equals their consumption possibilities.

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Definitions:

Labor Law

A body of laws, administrative rulings, and precedents which address the legal rights of, and restrictions on, working people and their organizations.

Efficiency

In an economic context, the optimal allocation and use of resources to achieve the best possible output or outcome with minimal waste.

Equity

The value of an ownership interest in property, including shareholders' equity in a company, which represents the amount of money that would be returned to shareholders if all the assets were liquidated and all the company's debt was paid off.

Voice

A concept referring to the means by which employees can express concerns, grievances, or suggestions within the workplace.