Multiple Choice
Which of the following would NOT be considered a feature of comparative advantage?
A) Exporters in Country A sell goods or services to unrelated importers in Country B.
B) Firms in Country A specialize in making products that can be produced relatively efficiently, given County A's endowment of factors of production. Firms in Country B do likewise thus maximizing the combined output of Countries A and B.
C) Trade exists between Counties A and B because of specialized factors of production that cannot be moved among countries.
D) All of the above are features of comparative advantage.
Correct Answer:

Verified
Correct Answer:
Verified
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