If a nation has an absolute advantage in the production of some commodity, it
A. can gain only if it has a comparative advantage in the commodity.
B. may still gain from trade in the commodity.
C. cannot gain from trade in the commodity.
D. cannot gain unless it has an absolute advantage in every other commodity.
Answer: B
Economics
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System in which an agency such as a government determines everyone's share.
a. price floor b. price ceiling c. deficiency payment d. rationing
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Voters may choose to remain uninformed about an issue because of:
A. the special-interest effect. B. rational ignorance. C. bureaucratic inefficiency. D. the shortsightedness effect.
Economics