If There Is No Comparative Advantage in the Production of Either

question 70

Multiple Choice

If there is no comparative advantage in the production of either of the two goods produced by countries 1 and 2, then

• A)the benefits resulting from trade between the two countries are increased.
• B)there are no gains from specialization and trade between the two countries.
• C)one country must be more productive in producing all goods than the other.
• D)each country should specialize in the production of a particular good.

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Definitions:

Body Language

Non-verbal communication, including facial expressions, eye contact, posture, touch, and attention to personal space.

Facial Expressions

The movements of the facial muscles that convey emotions and communication.

Eye Contact

The act of looking directly into another person’s eyes, often used as a form of nonverbal communication to convey attentiveness or confidence.

Personal Space

The physical space immediately surrounding someone, into which any encroachment feels threatening to or uncomfortable for them.