Refer to Figure 9.8. With no government interference, the country pictured will

Which of the following can be a source of comparative advantage?

A) Prices of finished goods B) The demand for goods in the global market C) Climatic conditions D) The demand for the goods in the domestic market

The supply curve for high-skilled labor lies to the

A) right of the supply curve for low-skilled labor because more people want a high-skilled job. B) left of the supply curve for low-skilled labor because more people want a high-skilled job. C) left of the supply curve for low-skilled labor because it is costly to acquire skills. D) right of the supply curve for low-skilled labor because fewer high-skilled people are willing to work for a low wage.