The Idea Behind Comparative Advantage Reflects the Possibility That One

question 6

Multiple Choice

The idea behind comparative advantage reflects the possibility that one party

• A)may be able to produce something relatively more efficiently than another.
• B)may be able to produce something at a lower opportunity cost than another.
• C)may be able to produce something more cheaply than another.
• D)with an absolute advantage in producing two different goods may have a larger absolute advantage in producing one of those goods than in producing the other.
• E)all of the above are true.

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