Two Countries Will Choose to Specialize and Trade Only If

question 68

Multiple Choice

Two countries will choose to specialize and trade only if:

• A)the terms of trade fall between their opportunity costs for producing the goods on their own.
• B)the opportunity costs are the same between the two nations.
• C)the opportunity costs are astronomically high for producing the goods on their own.
• D)one country possesses the absolute advantage in both goods,but the comparative advantage in only one good.

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Definitions:

Crashing

A project management technique that involves adding additional resources to critical tasks to shorten the project duration.

Expediting

The process of speeding up tasks or processes to ensure that project timelines are met or to address delays.

Work Breakdown Structure

A hierarchical decomposition of a project into smaller components or tasks, making it easier to manage and execute.

Step Change

A significant and sudden change in performance or productivity, typically for the better.