Comparative Advantage Indicates That

question 115

Multiple Choice

Comparative advantage indicates that:

• A) specialization and exchange will permit trading partners to maximize their joint consumption.
• B) a nation can gain from trade only if it is not at an absolute disadvantage in producing all goods.
• C) a nation can gain from trade only when its trading partners are not low-wage countries.
• D) countries should export products for which they are high-opportunity cost producers.

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Definitions:

Fats and Sugars

Macronutrients that provide energy; fats are essential for body functions and energy storage, while sugars are simple carbohydrates providing quick energy.

Evolutionary Psychology

A theoretical approach in psychology that attempts to explain useful mental and psychological traits as the functional products of natural selection.

Adaptive Purpose

Refers to the ways in which behaviors or physical traits contribute to an organism's survival or reproductive success in its environment.

Common Behaviour

Actions or reactions that are frequently exhibited by a majority of individuals within a particular group or society.