The Idea of Comparative Advantage Is That

question 28

Multiple Choice

The idea of comparative advantage is that:

• A)each country can gain from trade as long as the opportunity cost of producing one good compared with another good is different between countries.
• B)every country can gain from trade as long as all countries can produce roughly the same quantity of each good.
• C)every country can gain from trade as long as the opportunity cost of producing one good compared with another good is the same as for other countries.
• D)every country can gain from trade as long as the absolute amount of exports equals imports.

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Definitions:

Working Memory

A cognitive system responsible for temporarily holding information available for processing, critical for reasoning, guidance of decision-making, and behavior.

High School Students

Adolescents who are enrolled in grades nine through twelve in the schooling system.

Proactive Interference

The phenomenon where older memories interfere with the recall of newer memories.

Retroactive Interference

A psychological phenomenon where newer memories disrupt the recall of older ones.