Multiple Choice
Ithilium, a European country, is able to produce more electronics than Kilim, a North American country, even though both countries use the same amount of resources. Given this information, it can be deduced that Ithilium has a(n) :
A) comparative advantage over Kilim.
B) higher trade surplus than Kilim.
C) absolute advantage over Kilim.
D) higher balance of payments surplus than Kilim.
Correct Answer:

Verified
Correct Answer:
Verified
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