For Any Country,if the World Price of Computers Is Higher

question 240

Multiple Choice

For any country,if the world price of computers is higher than the domestic price of computers without trade,that country should

• A)export computers, since that country has a comparative advantage in computers.
• B)import computers, since that country has a comparative advantage in computers.
• C)neither export nor import computers, since that country cannot gain from trade.
• D)neither export nor import computers, since that country already produces computers at a low cost compared to other countries.

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Definitions:

Demand Uncertainty

The unpredictability or variability in consumer demand for products or services.

Postponement

A strategy delaying the final stages of production or distribution to better match product variety with customer demand.

Optimal Number

Describes the best or most efficient amount or level of something (e.g., inventory, employees) for achieving a specific goal or maximizing performance.

Supply Chain Management

Supply Chain Management is the coordinated management of the processes and functions involved in producing and delivering goods or services from suppliers to customers.