If a Country Has a Comparative Advantage in the Production

question 41

Multiple Choice

If a country has a comparative advantage in the production of all goods, it should:

• A) specialise in the production of goods with the lowest opportunity cost.
• B) specialise in the production of goods with the highest opportunity cost.
• C) specialise in the production of goods with the absolute advantage.
• D) specialise in the production of goods without the absolute advantage.

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Definitions:

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