Suppose England Has a Comparative Advantage Over the United States

question 122

Multiple Choice

Suppose England has a comparative advantage over the United States at producing tea. If this is true, then:

• A) England should produce more tea than it wants and sell the rest to the United States.
• B) England should produce a small amount of tea and buy the rest of the tea it wants from the United States.
• C) England should buy all of the tea it wants from the United States.
• D) the United States has nothing to gain from buying tea produced by England.

---

Definitions:

Events in Their Lives

Significant occurrences or milestones that have an impact on individuals' personal or professional growth.

Observing Landscape

The practice of examining and studying the visible features of an area of land to understand its formation and changes.

Smaller Parts

Constituent components or fragments that are of a lesser size relative to the whole.

River Channel

The physical confine of a river, consisting of the bed and banks, through which water flows.