If a Nation Has an Absolute Advantage in Producing a Good,then

question 28

Multiple Choice

If a nation has an absolute advantage in producing a good,then it

• A) will have a comparative advantage in producing that good.
• B) will have no need to trade with other nations.
• C) will always specialize in that good.
• D) might or might not have a comparative advantage in producing that good.
• E) will not have a comparative advantage in producing that good.

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Definitions:

Mediator

A neutral third party who assists disputing parties in resolving conflict through facilitated dialogue, without issuing a binding decision.

Arbitrator

A neutral third party selected to resolve disputes between two or more parties outside of the court system.

Binding Decision

A final and conclusive decision made by a court or arbitrator that the parties to the dispute must adhere to.

Certified Class Action Lawsuit

A legal action that meets certain requirements set by a court, allowing a group of people with the same or similar injuries caused by the same action or product to sue the defendant as a group.