Which Are True of a Hypothesis

question 25

Multiple Choice

Which are true of a hypothesis?

• A) It is the same thing as a theory.
• B) It is assumed to be true and requires no further examination.
• C) None of these.

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Definitions:

Comparative Advantage

The ability of an entity to produce a good at a lower opportunity cost than another entity, leading to potential gains from trade.

Absolute Advantage

The ability of an individual, company, or country to produce a good or service more efficiently than competitors, using the same amount of resources.

Resource Endowments

These are the natural, human, and technological resources available to a country or region, crucial for economic development.

Comparative Advantage

A concept in economics that refers to a country's ability to produce goods and services at a lower opportunity cost than that of trade partners.