Which of the Following Does Not Result in a Mutually

question 123

Multiple Choice

Which of the following does not result in a mutually beneficial trade between two countries?

• A) one country having a higher opportunity cost of production of a good than the other
• B) one country having an abundant supply of natural resources than the other
• C) one country's production being more efficient than the other
• D) one country having an absolute advantage over the other
• E) one country having a comparative advantage in producing a good than the other

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Definitions:

Carrying Capacity

Carrying Capacity is the maximum population size of a species that an environment can sustain indefinitely, given the food, habitat, water, and other necessities available in the environment.

Human Population Size

The number of individuals living in a specific area or globally, influencing resources, environment, and economic development.

External Cost

A cost that a business or economic activity imposes on third parties who are not part of the transaction, such as pollution.

Pollution

The introduction of contaminants into the natural environment that cause adverse changes, affecting air, water, and soil quality.