Belarus Has a Comparative Advantage in the Production of Linen,but

question 11

Multiple Choice

Belarus has a comparative advantage in the production of linen,but Russia has an absolute advantage in the production of linen.If these two countries decide to trade,

• A)Belarus should export linen to Russia.
• B)Russia should export linen to Belarus.
• C)trading linen would provide no net advantage to either country.
• D)Without additional information about opportunity costs,this question cannot be answered.

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Stare Decisis

A legal principle that obligates courts to follow historical cases when making a ruling on a similar current or future case.

Precedent

A court decision that furnishes authority for deciding later cases in which similar facts are presented.

Statutory Law

Law enacted by a legislative body, forming a codified set of rules that are legally enforceable.