If a Country Has

question 272

Multiple Choice

If a country has

• A) an absolute advantage in producing a good, it definitely also has a comparative advantage in producing that good.
• B) an absolute advantage in producing a good, it might or might not have a comparative advantage in producing that good.
• C) a comparative advantage in production of a good, it must also have an absolute advantage in producing that good.
• D) an absolute advantage in producing a good, it definitely will not have a comparative advantage in producing that good.
• E) None of the above answers is correct.

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Definitions:

Transportation Decisions

Entail choosing the most effective methods and routes for shipping products to meet delivery and cost targets.

Trade-Offs

The balancing act of giving up one thing to gain another, often seen in decision-making processes where compromises are made to achieve a desired outcome.

Third Party Milk Runs

A logistics strategy where a third-party provider collects and delivers small shipments from multiple suppliers in a single trip, increasing efficiency and reducing transportation costs.

LTL Carrier

Less-than-truckload carrier, a transportation service for shipping goods that do not require a full truckload.