According to the Principle of Comparative Advantage, Countries

question 16

Multiple Choice

According to the principle of comparative advantage, countries

• A) should specialise in the production of goods that they enjoy consuming.
• B) with a comparative advantage in the production of every good need not specialise.
• C) should specialise in the production of goods for which they have a lower opportunity cost of production than their trading partners.
• D) should specialise in the production of goods for which they use fewer resources in production than their trading partners.

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Definitions:

Organizational Structures

define the ways in which jobs, power, and responsibilities are arranged within a company to achieve its objectives.

Matrix Organization

A matrix organization is a company structure that creates teams by combining functional and project-based departments, aiming to improve communication, flexibility, and dynamic project handling.

Committee Organization

Organizational structure that places authority and responsibility jointly in the hands of a group of individuals rather than a single manager.

Line-and-staff Organization

An organizational structure that combines direct, line authority with specialized, staff support functions and personnel.