It Is More Realistic to Assume Diminishing Returns to Specialization

question 80

Multiple Choice

It is more realistic to assume diminishing returns to specialization when evaluating the theory of comparative advantage.This is because:

• A)there exist differences in the prices of resources in different countries.
• B)resources can move freely from the production of one good to another within a country.
• C)not all resources are of the same quality.
• D)different goods use resources in the same proportions.

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Definitions:

James And Lange

Theorists who proposed an emotion theory suggesting physiological arousal precedes the experience of emotion.

Cognitive Representations

Mental models or mental images that individuals form about objects, events, or people, based on their knowledge and experiences, which guide their interactions with the external world.

Physiological Responses

The body's automatic reactions to a stimulus, including changes in heart rate, breathing, and muscle tension, among others.

Emotions

Intricate mental conditions that encompass a trio of distinct elements: an individual's personal experience, a physical reaction, and an action or demonstrative response.