The Source of Gains from Trade Is _____

question 71

Multiple Choice

The source of gains from trade is _____.

• A)tariff revenue
• B)self-sufficiency
• C)terms of trade
• D)absolute advantage
• E)comparative advantage

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Definitions:

Monthly

Pertaining to or occurring every month.

Unit Sales

The total number of individual items or units that a company sells.

Margin of Safety

The difference between actual sales and sales at the break-even point, indicating the risk level of not covering fixed costs.

Break-Even Sales

The sum of money needed to offset all constant and fluctuating expenses, achieving a financial break-even point with no gains or deficits.