According to the Product Life Cycle Theory, Comparative Advantage

question 9

Multiple Choice

According to the product life cycle theory, comparative advantage

• A) always remains in the country where the product is first introduced to the market.
• B) increases as government tariffs and quotas are imposed on imports.
• C) may shift from the home country to a foreign country as the product matures.
• D) is the result of lower wages in the home country than in other countries.

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