Suppose That Spain Has a Comparative Advantage in Hats and Portugal

question 117

Multiple Choice

Suppose that Spain has a comparative advantage in hats and Portugal has a comparative advantage in doormats.Under a system of free trade,each country specialises and then trades with the other.If the price starts at four hats per doormat,and then increases to five hats per doormat,then:

• A)people in Portugal will not want to buy as many hats.
• B)Spain no longer has a comparative advantage in hats.
• C)Portugal is flooding the market with too many doormats.
• D)some of the gains from trade shift to Portugal.
• E)some of the gains from trade shift to Spain.

Describe the concept and application of shoe leather epidemiology in community health.

Understand the challenges and considerations in collecting health information from community residents.

Recognize the importance of support systems and community resources for individuals with chronic illnesses.

Understand the ethical approaches and principles in community health nursing.

---

Definitions:

Variable Overhead Efficiency Variance

The difference between the actual variable overhead incurred and the standard cost allotted for the actual production achieved, indicating the efficiency of utilizing variable resources.

Materials Quantity Variance

The difference between the actual quantity of materials used in production and the expected quantity, valued at standard cost.

Favorable

A term used in variance analysis indicating that actual costs were lower than budgeted or standard costs, leading to higher profits.

Unfavorable

A term used in variance analysis to describe a situation where actual results are worse than expected results, often leading to a negative impact on financial performance.