When a Country Specializes in the Production of a Good

question 17

Multiple Choice

When a country specializes in the production of a good that is relatively cheaper for it to produce than other goods, it is because of:

• A) the foreign-trade multiplier.
• B) comparative advantage.
• C) nontariff barriers.
• D) absolute advantage.

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Definitions:

Fetal Alcohol Syndrome

A condition resulting from alcohol exposure during pregnancy, characterized by growth deficiencies, facial abnormalities, and central nervous system problems.

Abnormalities

Divergence from the normal or usual structure, function, or behavior.

Intellectual Development

A process referring to the growth and changes in a person’s ability to think, reason, and understand the world around them.

Methadone

A laboratory-made opioid-like drug.