The country with a comparative advantage in the production of a good has a
A) vertical production possibilities frontier.
B) higher opportunity cost of production.
C) horizontal production possibilities frontier.
D) linear production possibilities frontier.
E) lower opportunity cost of production.
E
You might also like to view...
If peanut butter and jelly are complements, then their cross elasticity of demand must be
A) infinitely high. B) a positive number that might be greater than 1. C) a number between zero and one. D) a negative number.
In an economy experiencing hyperinflation, we expect to observe
A) an increase in the demand for money and an increase in velocity. B) an increase in the demand for money and a reduction in velocity. C) a decrease in the demand for money and an increase in velocity. D) a decrease in the demand for money and a reduction in velocity.