The Impact of Increasing, as Opposed to Constant Costs Is

Multiple Choice

The impact of increasing, as opposed to constant costs is to:

A) intensify and prolong the comparative advantages which any nation may have initially.
B) expand the limits of the terms of trade.
C) cause the basis for further specialization to disappear as nations specialize in accordance with comparative advantage.
D) cause nations to realize economies of scale in those products in which they specialize.