If Nation a Has an Absolute Advantage Over Nation B

question 99

Multiple Choice

If nation A has an absolute advantage over nation B in the production of a product, this implies that

• 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) nation B could not benefit by engaging in trade with A.
• D) nation A should acquire this product by trading with B.
• E) nation A could not benefit by engaging in trade with B.

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Definitions:

Totten Trust

A Totten Trust is a type of informal trust account created by depositing funds into a bank account with a beneficiary designated to receive the balance upon the depositor's death.

Savings Account Trust

A trust account set up at a bank or financial institution, where money is held under a trust agreement for the benefit of the beneficiaries.

Intestacy Statutes

Laws that govern the distribution of a person's estate if they die without a valid will, determining how their assets are divided among surviving relatives.

Legally Adopted

Refers to the formal process by which an adult becomes the legal parent of someone who is not their biological child.