The First Example Used to Explain Comparative Advantage Used Two

question 176

Multiple Choice

The first example used to explain comparative advantage used two countries (England and Portugal) and two goods (wine and cloth) to show that

• A)each country would be better off from trade if it had an absolute advantage in producing one of the goods.
• B)each country would have a comparative advantage in the production of the good for which it had an absolute advantage.
• C)mutually beneficial trade was possible between two countries even if one had an absolute advantage in the production of both goods.
• D)mutually beneficial trade was possible between two countries even if one had a comparative advantage in the production of both goods.

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Definitions:

Growth Hormone

A peptide hormone produced by the pituitary gland that stimulates growth, cell reproduction, and cell regeneration in humans and other animals.

Melanin

A pigment produced by melanocytes in the skin, hair, and eyes, responsible for coloration and protection against UV radiation.

Sebaceous Glands

Sebaceous glands are small oil-producing glands in the skin that release sebum to lubricate and waterproof the skin and hair.

Merocrine Sweat Glands

Sweat glands that secrete their product directly onto the skin's surface without losing any cellular components, involved primarily in body temperature regulation.