If Nation a Has a Comparative Advantage Over Nation B

question 2

Multiple Choice

If nation A has a comparative advantage over nation B in the production of a product, this implies:

• A) it requires fewer resources in A to produce the good than in B.
• B) the cost of producing the good in terms of some other good's production that must be sacrificed is lower in A than in B.
• C) that nation B could not benefit by engaging in trade with A.
• D) that nation A could not benefit by engaging in trade with B.

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Definitions:

Social Environment

The immediate physical and social setting in which people live or in which something happens or develops, including the culture that individuals are surrounded by.

Demographics

Statistical data relating to the population and particular groups within it, often used in marketing, policy making, and social research to understand and predict trends.

Managing Diversity

The practice of acknowledging, understanding, accepting, and valuing differences among people with respect to age, class, ethnicity, gender, physical and mental ability, race, sexual orientation, spiritual practice, and public assistance status.

Intrapreneurs

Employees within a company who are given the responsibility to develop new projects or ideas, operating as entrepreneurs within the organization.