When a Country Has a Comparative Advantage in Producing a Certain

question 3

Multiple Choice

When a country has a comparative advantage in producing a certain good,

• A)the country should import that good.
• B)the country should produce just enough of that good for its own consumption.
• C)the country's opportunity cost of that good is high relative to other countries' opportunity costs of that same good.
• D)None of the above is correct.

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Definitions:

Federal Government

The national government of a federal country, which shares power with state or provincial governments according to the constitution.

Departments

Major divisions within a government or organization that specialize in particular areas of public policy, administration, or services.

Executive Agencies

Governmental units under the executive branch responsible for implementing and administering federal laws and policies.

Federal Government

The national government of a federation, responsible for governing issues that affect the entire country, distinct from state or local governments.