When One Country Can Produce a Product at a Lower

question 159

Multiple Choice

When one country can produce a product at a lower cost in terms of other goods, that country is said to have

• A) an absolute advantage.
• B) a comparative advantage.
• C) a productive advantage.
• D) an unfair advantage.

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Definitions:

Right-to-Work Laws

Legislation that prohibits union security agreements between companies and workers' unions, allowing individuals to work without the requirement to join the union or pay dues.

Taft-Hartley Act

An American federal statute from 1947 designed to curtail the actions and influence of labor unions.

AFL-CIO

The American Federation of Labor and Congress of Industrial Organizations, a federation of labor unions in the United States, representing the collective interests of workers.

Strikes

Work stoppages initiated by employees as a form of protest, typically in an effort to gain better pay or working conditions.