If There Is No Comparative Advantage in the Production of Either

question 109

Multiple Choice

If there is no comparative advantage in the production of either of the two goods produced by countries 1 and 2,then

• A) the benefits resulting from trade between the two countries are increased.
• B) there are no gains from specialization and trade between the two countries.
• C) one country must be more productive in producing all goods than the other.
• D) each country should specialize in the production of a particular good.
• E) none of the above

---

Definitions:

Marketing Mix

The combination of factors that can be controlled by a company to influence consumers to purchase its products, typically referred to as the four Ps: product, price, place, and promotion.

NIH Barriers

Stands for "Not Invented Here" barriers, a term referring to the reluctance or inability of a company to accept or adopt innovations or solutions developed outside its own boundaries.

Organizational Inertias

The tendency of an organization to continue on its current trajectory despite changes in the external environment, often due to resistance to change.

Open Innovation

A business model that encourages collaboration with individuals or companies outside an organization to jointly develop new products or services.