If Country a Can Produce More of Practically Everything Than

question 9

Multiple Choice

If country A can produce more of practically everything than can country B, then which of the following statements is true?

• A)Country A has no incentive to trade with country B.
• B)Country B cannot have a comparative advantage in the production of any good that country A wants to buy.
• C)Trade can benefit both countries.
• D)Country B has no incentive to trade with country A.

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Definitions:

Negotiators

Individuals engaged in discussion aimed at reaching an agreement or resolving a dispute through compromise or dialogue.

Purposes

The reasons or objectives behind actions, policies, or procedures, often defining their intended outcomes.

Pressures

Forces that influence the actions, behaviors, or policies of others, often creating a sense of urgency or necessity.

Constituent

A member or component of a larger system or political representative body.