It Benefits People to Specialize and Trade with Each Other

question 78

Multiple Choice

It benefits people to specialize and trade with each other because

• A)otherwise they would not survive.
• B)they can take advantage of the fact they have an absolute advantage in the production of something.
• C)with specialization and trade, this way they can consume outside the production possibilities frontier.
• D)with specialization and trade, the strong can exploit the weak.
• E)specialization and trade lead to a linear PPF.

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Definitions:

Average Tax Rate

The proportion of total income that is paid as tax, calculated by dividing the total amount of taxes paid by the taxpayer's total income.

Big Five

A model that outlines five broad dimensions of human personality traits: openness, conscientiousness, extraversion, agreeableness, and neuroticism.

Personality Traits

Enduring characteristics or qualities of an individual’s behavior, thought, and emotion that are consistent across different situations.

Behavioural Characteristics

Traits or actions of an individual that identify and distinguish their behavior.