Even If the United States Is More Efficient in the Production

question 59

Multiple Choice

Even if the United States is more efficient in the production of everything than China, both countries will benefit from their bilateral trade by specializing in what each
Country can produce relatively more efficiently. This statement is an example of
Which economic theory?

• A) relative cost advantage
• B) supply and demand
• C) concentric advantage
• D) comparative advantage
• E) constructive advantage

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Definitions:

Persistence

The quality of continuing steadfastly towards a goal despite obstacles or setbacks.

Direction

Guidance or instructions on the course or action to be taken, often aimed at achieving a specific goal or outcome.

Intensity

Intensity describes the degree of strength, power, or force of an action, emotion, or in a physical sense, often indicating the magnitude or seriousness of a phenomenon.

Collectivism

A cultural value that prioritizes group goals over individual goals and emphasizes the importance of cohesion within social groups.