Total output in an economy increases when each person specializes because
a. there is less competition for the same resources.
b. each person spends more time producing that product in which he or she has a comparative advantage.
c. a wider variety of products will be produced within each country due to specialization.
d. government necessarily plays a larger role in the economy due to specialization.
b
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Explain how and why an all-volunteer army may actually be cheaper than an army staffed with drafted soldiers
What will be an ideal response?
Refer to the table above. If good S is capital intensive, then following the Heckscher-Ohlin Theory
A) country B will export good S. B) country A will export good S. C) both countries will export good S. D) trade will not occur between these two countries. E) both countries will import good S.