In the Ricardian Model, Comparative Advantage Is Likely to Be

question 40

Multiple Choice

In the Ricardian model, comparative advantage is likely to be due to

• A) scale economies.
• B) home product taste bias.
• C) greater capital availability per worker.
• D) labor productivity differences.
• E) political pressure.

---

Definitions:

Economic Growth

An increase in the production of goods and services in an economy over a period of time, indicating improvement in the standard of living.

Human Resources

The department of a business or organization that deals with the hiring, administration, and training of personnel.

Population Growth

The increase in the number of individuals in a population, often expressed as a percentage of the total population.

Labor Productivity

A measure of the efficiency of a person, machine, factory, system, etc., in converting inputs into useful outputs.