When the Total Value of a Nation's Exports Is Higher

question 26

Multiple Choice

When the total value of a nation's exports is higher than the total value of its imports, that country has a(n) _____.

• A) absolute advantage
• B) trade surplus
• C) trade deficit
• D) comparative advantage

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Definitions:

Random Assignment

The process of allocating participants in an experiment to different groups in a way that each participant has an equal chance of being assigned to any group, helping to ensure the validity of the results.

Causation

is the action of causing something, referring to a relationship between two events where one event (the cause) is understood to directly result in the other event (the effect).

Third-variable Problem

A situation in correlation studies where a variable that has not been measured accounts for the relationship between two other variables, potentially misleading the results.

Independent Variables

Factors or conditions in an experiment that are manipulated or changed by the researcher to observe their effects on the dependent variables.