Assume That Honduras Has a Comparative Advantage in Producing Bananas

question 98

Multiple Choice

Assume that Honduras has a comparative advantage in producing bananas and exports bananas to Brazil.We can conclude that

• A)Honduras also has an absolute advantage in producing bananas relative to Brazil.
• B)Honduras has a lower opportunity cost of producing bananas relative to Brazil.
• C)Brazil has an absolute disadvantage in producing bananas relative to Honduras.
• D)Labor costs are higher for banana producers in Brazil than in Honduras.

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Definitions:

Governing Theory

is a guiding framework or set of principles intended to influence the decision-making and actions of an organization or governing body.

Institutionalize Changes

The process of embedding new approaches, behaviors, or standards into an organization's culture and practices.

Assess Environments

The process of evaluating and analyzing external and internal surroundings that can influence the performance and strategies of an organization or individual.

Plan For Change

A strategic outline designed to guide the process of making alterations or transformations within an organization or system.