Who Proposed the Theory of Absolute Advantage

question 63

Multiple Choice

Who proposed the theory of absolute advantage?

• A) David Ricardo
• B) Adam Smith
• C) Bertil Ohlin
• D) Raymond Vernon

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Definitions:

Capital Lease

A lease agreement that allows a lessee to effectively purchase an asset over time through lease payments, characterized by the transfer of ownership rights of the asset from the lessor to the lessee.

Accountants

Professionals who practice accounting, which involves financial reporting, tax, auditing, and analysis.

Operating Lease

A lease agreement for the use of equipment or property for a shorter period than the asset's life expectancy, without transferring ownership rights.

Right To Cancel

A clause or provision in a transaction that allows a party to withdraw from the contract under certain conditions before it is fully executed.