Solved

If Country a Has a Comparative Advantage in the Production

Question 74

Multiple Choice

If Country A has a comparative advantage in the production of good X relative to Country B,


A) then Country A also has an absolute advantage in the production of this good.
B) then Country A also has an absolute advantage in the production of some good other than X.
C) then the opportunity cost of producing X in Country A is higher than in Country B.
D) then the opportunity cost of producing X in Country A is lower than in Country B.
E) we do not have enough information to say anything about relative opportunity costs.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions