Multiple Choice
Which of the following statements is true?
A) Exports tend to decrease economic efficiency.
B) A nation should specialize in producing a good in which it has an absolute advantage.
C) A nation should specialize in producing a good only when it has both an absolute and a comparative advantage.
D) A nation should specialize in producing a good in which it has a comparative advantage.
E) International trade does not reflect the benefits of specialization.
Correct Answer:
Verified
Correct Answer:
Verified
Q28: In an Israeli factory,each worker can produce
Q29: In a Mexican factory,each worker can produce
Q30: For each watch Switzerland produces,it gives up
Q31: In general,a society will benefit more,the more
Q32: International trade<br>A)reduces world output of goods and
Q34: Strategic trade policy<br>A)argues for protecting certain industries
Q35: If all we know is that the
Q36: Differences in climate among nations<br>A)could lead to
Q37: The ratio (in physical units)at which two
Q38: In a Mexican factory,each worker can produce