Which of the Following Best Describes the Implications of the Law

question 202

Multiple Choice

Which of the following best describes the implications of the law of comparative advantage? If each person sells goods for which he or she has the greatest comparative advantage in production and buys those for which his or her comparative advantage is least, the

• A) total output available to each person can be expanded by specialization and exchange.
• B) total output will fall.
• C) buyers of goods will gain at the expense of sellers.
• D) sellers of goods will gain at the expense of buyers.

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Definitions:

Facilitate

To make an action or process easier or more achievable.

Team's Decisions

Collective choices made by a group with the aim of achieving a common goal or resolving issues.

External Leader

A leader who is not part of the organization but influences and guides the team or project from outside the organization.

Headquarters Budget

The financial plan for an organization's main office, allocating resources for its operations, projects, and administrative functions.