The Effect of Opening Trade Between Countries Is

question 206

Multiple Choice

The effect of opening trade between countries is

• A)living standards rise in the country with efficient, high-pay workers.
• B)both countries can exploit comparative advantage and increase productivity.
• C)total world production increases as both countries specialize in specific goods.
• D)All of the above are correct.

---

Definitions:

Merchantable

Refers to goods being fit for the purpose for which they are sold, meeting the buyer's reasonable expectations.

Variation

A change or difference in condition, amount, or level, typically with certain limits.

Decoupling

Refers to a process or condition where two or more connected entities operate independently or with reduced interdependence.

Conflict Management

The process of identifying and addressing differences that arise among individuals, groups, or organizations, aiming to resolve disagreements in a constructive manner.