The Comparative Advantage in Production of a Specific Good Can

question 14

Multiple Choice

The comparative advantage in production of a specific good can shift over time from one country to another because

• A) goods experience a product life cycle.
• B) skilled labor tends to "follow the market."
• C) resources, especially natural resources, are eventually used up; therefore, production must shift.
• D) capital stocks depreciate, thus shifting production to countries with more modern plants and equipment.
• E) of changing international trade agreements.

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