If Nations Trade on the Basis of Comparative Advantage

question 189

Multiple Choice

If nations trade on the basis of comparative advantage

• A)a nation can gain only at the expense of trading partners.
• B)exporting nations gain and importing nations lose.
• C)importing nations gain and exporting nations lose.
• D)all trading partners mutually gain.

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Definitions:

Employer's Organization

A group that represents the interests of employers in various industries.

Ratify

To officially approve or confirm, often used in the context of validating agreements or contracts.

Actual Authority

The power that an agent or representative has been formally given by a principal to conduct specific acts.

Apparent Authority

Apparent Authority deals with the perception by a third party that an agent has the power and authority to act on behalf of the principal, even if such authority hasn't been explicitly granted.