Because the Ricardian Theory of Comparative Advantage Was Based Only

question 144

True/False

Because the Ricardian theory of comparative advantage was based only on a nation's demand conditions,it could not fully explain the distribution of the gains from trade among trading partners.

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Definitions:

Ectoderm

The outermost layer of cells or tissue of an embryo in early development, giving rise to the epidermis and nervous system among others.

Germ Layer

One of the three primary layers of cells (ectoderm, mesoderm, endoderm) in the early embryo that develop into specific organ systems.

Nervous System

A complex network of nerve cells and fibers that transmits nerve impulses between parts of the body, coordinating and controlling bodily functions.

Ectoderm

The outermost layer of cells in the developing embryo of an animal, giving rise to the skin and nervous system.