Which of the Following Is True About Absolute Advantage Principle

question 20

Multiple Choice

Which of the following is true about absolute advantage principle?

• A)According to this approach, enhanced product specialization adversely affects communal welfare.
• B)This approach allows the nation to consume more than it otherwise could, generally at lower cost.
• C)This is the only approach that can be used to explain why nations attempt to run a trade surplus.
• D)This approach explains the process by which firms acquire and retain one or more value-chain activities inside the firm.

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Definitions:

Employee Owners

Individuals who hold ownership stakes in the company they work for, often through stock options or an employee stock ownership plan (ESOP).

Job Enlargement

The process of increasing the number and variety of tasks that an employee performs, aiming to add more diversity and interest to the job.

Job Breadth

Refers to the range and variety of tasks, responsibilities, and activities an employee is expected to perform within their role.

Symbolic Tokens

Physical or abstract items that represent values, ideas, or themes and can convey specific messages or meanings.