If One Country Has the Ability to Produce All Goods

question 94

Multiple Choice

If one country has the ability to produce all goods and services more efficiently than any other country, then:

• A) there is no benefit to be derived from trading.
• B) there is still benefit to trading because the advantages to trade depend on comparative advantage and not on an absolute ability to produce more efficiently.
• C) it should not trade but should isolate itself from the less productive rest of the world.
• D) it must be a very large country.

---

Definitions:

Federal Government

The national government of a federal country, where powers and responsibilities are divided between the central government and state or provincial governments.

Human Rights

The fundamental rights and freedoms that every person is entitled to, such as the right to life, liberty, and personal security.

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations, including all great powers, organized into two opposing military alliances: the Allies and the Axis.

Eric Foner

A prominent American historian, recognized for his scholarly contributions to the understanding of American history, particularly the Civil War and Reconstruction periods.