According to the principal of comparative advantage a country
A) that produces goods at the lowest absolute cost will export those goods.
B) will import goods it can produce at the lowest relative cost.
C) will export goods it can produce at the lowest relative cost.
D) will only import those goods that it cannot produce for itself.
C
Economics
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A circular flow diagram traces the flows of inputs and outputs between:
A. households and the government. B. households and firms. C. households in one country and households in another country. D. firms in one country and households in another country.
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In the short run, if a firm shuts down its maximum loss equals the amount of its fixed cost
Indicate whether the statement is true or false
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