If One Country Can Produce a Good with Fewer Resources

question 1

Multiple Choice

If one country can produce a good with fewer resources than another country, this is called:

• A) specialization.
• B) geographic advantage.
• C) comparative advantage.
• D) absolute advantage.
• E) free trade.

---

Definitions:

Product Life Cycle Concept

A framework that outlines the stages a product goes through from introduction to decline, including introduction, growth, maturity, and decline.

Life Cycle Curve

A graphical representation of the stages a product goes through from introduction to decline.

Imitators

Entities or individuals who replicate or copy the products, styles, or ideas of others, usually with the intent of capitalizing on the original's success.

Pioneers

New product introductions that establish a completely new market or radically change both the rules of competition and consumer preferences in a market; also called breakthroughs.