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When Two Countries Specialize in the Production of Different Goods

Question 178

Multiple Choice

When two countries specialize in the production of different goods and trade with each other, it is most likely each country will


A) export the goods in which it has a comparative advantage.
B) export the goods in which it has an absolute advantage.
C) import the goods in which it has a comparative advantage.
D) import the goods in which it has an absolute advantage.

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