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

question 19

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 possibility frontier.
• D)at a lower opportunity cost than another economy.

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Definitions:

GDP

Gross Domestic Product, a measure of the economic performance of a country, calculated by adding the total value of all goods and services produced over a specific time period.

Overall Economic Conditions

The current state of the economy, including factors such as growth rates, inflation, unemployment, and productivity.

Pyramidal Composition

refers to an artistic arrangement or structure in which elements of a work are organized in the shape of a pyramid, often used to create a sense of stability and focus.

Chiaroscuro

A technique in art where light and shadow are contrasted to create a sense of volume in modelling three-dimensional objects and figures.