When the Principle of Comparative Advantage Determines Trade, Then a Country

question 197

Multiple Choice

When the principle of comparative advantage determines trade, then a country will

• A) specialize only in that good with the highest opportunity cost.
• B) specialize only in goods with the lowest opportunity costs.
• C) specialize only in that good where output is less per worker hour than another country.
• D) specialize only in that good where production costs are more than average total costs.

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Definitions:

Natural Selection

The mechanism where organisms that are more suitably adapted to their surroundings are more likely to flourish and reproduce, serving as a crucial driver of evolutionary change.

Adaptive Flexibility

The ability to adjust one's thoughts and behaviors in response to changing circumstances and new information.

Organic Methyl Molecule

A molecule containing a methyl group (-CH3) that is part of an organic compound.

DNA Strand

A molecule that carries genetic instructions used in the growth, development, functioning, and reproduction of all living organisms and many viruses.