Multiple Choice
In a two-country two-good model, if a country has a comparative advantage in the production of a certain good, it implies that this country:
A) also has an absolute advantage in the production of this good.
B) will start importing this good from the other country.
C) can produce this good at a lower opportunity cost than the other country.
D) uses most of its resources in the production of this good .
Correct Answer:

Verified
Correct Answer:
Verified
Q39: The table given below shows the
Q40: If a country does not have an
Q41: According to the Mercantilists, governments should:<br>A)subsidize and
Q42: The figure given below shows the production
Q43: If country X has higher labor productivity
Q45: The table given below shows the
Q46: The table given below shows the
Q47: When Adam Smith presented his theory of
Q48: Consider a two-country, two-commodity model. The
Q49: The figure given below shows the production