David Ricardo Discovered That Two Countries Can Still Gain by Trading

question 201

Multiple Choice

David Ricardo discovered that two countries can still gain by trading even if one country is more efficient in the production of every commodity.Ricardo's discovery is called the law of

• A)comparative advantage.
• B)absolute advantage.
• C)compensating balances.
• D)increasing returns.

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Definitions:

Sperm

The male reproductive cells or gametes involved in sexual reproduction, capable of fertilizing an ovum to produce offspring.

Fertilization

The process by which a sperm cell unites with an egg cell to form a zygote, initiating the development of a new organism.

Relaxin

A hormone produced by the placenta in the later months of pregnancy that increases flexibility in the ligaments and joints of the pelvic area. In men, relaxin is contained in semen, where it assists in sperm motility.

Uterus

A major female hormone-responsive reproductive sex organ of most mammals, including humans, where offspring are conceived and in which they gestate before birth.