If Brazil Has a Comparative Advantage in Producing Sugar,and Trade

question 124

Multiple Choice

If Brazil has a comparative advantage in producing sugar,and trade in sugar is allowed,what can be said about Brazil

• A)Brazil will become an importer of sugar.
• B)Brazil will become an exporter of sugar.
• C)Brazil could only become an importer of sugar if it has absolute advantage in producing sugar.
• D)Brazil could only become an exporter of sugar if it has absolute advantage in producing sugar.

---

Definitions:

Premium Quality

Products or services characterized by superior materials, craftsmanship, or performance that often justify a higher price.

Spending Power

The financial ability of individuals or groups to purchase goods and services, often influenced by income and economic conditions.

Population

In research or demographics, it refers to the total group of individuals or items that is the subject of statistical analysis.