An Economy Is Said to Have a Comparative Advantage in the Production

question 57

Multiple Choice

An economy is said to have a comparative advantage in the production of a good if it can produce that good:

• A)with more resources than another economy.
• B)with a higher opportunity cost than another economy.
• C)outside its production possibilities curve.
• D)at a lower opportunity cost than another economy.

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Definitions:

Specific Performance

A legal remedy requiring a party to perform a specific act, usually fulfilling a contractual agreement, rather than paying damages for failing to perform.

Risk of Loss

The liability for damage or destruction of goods, determining which party bears the financial burden if goods are damaged before delivery.

Risk of Loss

The chance that an asset might be lost, stolen, or damaged, and the question of who bears this risk under the terms of a contract.

Pleadings Provided

Legal documents submitted by parties in a lawsuit that set forth the claims, defenses, and other legal arguments involved in the dispute.