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:

Innovation

The process of creating new ideas, products, or methods, often leading to improvements or advancements in a field.

Status

The relative social, professional, or other standing of an individual, group, or institution, often determining the level of respect or authority they command.

Leaders

Individuals who guide, influence, or command a group, organization, or country towards achieving set goals.

Influence Tactic

Strategies or actions employed by individuals to persuade or guide the behavior and attitudes of others towards a desired direction.