The Country of Dalima Has Long Been a Substantial Exporter

question 39

Multiple Choice

The country of Dalima has long been a substantial exporter of agricultural goods,reflecting its unusual abundance of arable land; in contrast,its continental neighbor,Bundeeza,has excelled in the export of goods produced in labor-intensive manufacturing industries.The export policies of the two countries is best explained by

• A)mercantilism.
• B)theory of absolute advantage.
• C)Heckscher-Ohlin theory.
• D)theory of comparative advantage.
• E)Samuelson's critique.

---

Definitions:

Exact Simple Interest

Interest calculated on the principal amount of a loan or investment, considering the exact number of days in the interest period.

365-Day Year

A standard year length used in some financial calculations, ignoring leap years.

Exact Simple Interest

Interest calculated precisely based on the principal amount, a fixed interest rate, and the number of days between payments.

365-Day Year

A method used in finance that assumes all years have 365 days for the purpose of interest calculation.