According to international trade theory
A) trade is based on absolute advantage.
B) comparative advantage is based on absolute advantage.
C) every country has a comparative advantage in something.
D) less developed countries cannot trade successfully with developed countries.
Answer: C
Economics
You might also like to view...
Refer to Figure 12-4. If the market price is $30, the firm's profit-maximizing output level is
A) 0. B) 130. C) 180. D) 240.
Economics
Suppose we find that the price elasticity of demand for a product is 3.5 when its price is increased by 2 percent. We can conclude that quantity demanded:
A. increased by 7 percent. B. decreased by 7 percent. C. decreased by 9 percent. D. decreased by 1.75 percent.
Economics