Identify the Theory That Argues That Advanced Nations Have an Incentive

question 52

Multiple Choice

Identify the theory that argues that advanced nations have an incentive to develop a new offering and hence such nations always tend to create a good or service for the first time.

• A) Absolute advantage
• B) Ricardo
• C) Product life-cycle
• D) Heckscher-Ohlin

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Definitions:

Utilities

Basic services provided to support the functioning of households and businesses, such as water, electricity, and gas.

Education

The systematic process of facilitating learning, or the acquisition of knowledge, skills, values, beliefs, and habits.

Health Care

Health care encompasses services provided to individuals or communities for the prevention, management, and treatment of physical and mental health conditions.

Income Maintenance

Government programs designed to ensure individuals have a basic level of income, through mechanisms like unemployment benefits, social security, or welfare programs.