Multiple Choice
This table shows how much wine and cheese can be produced in Spain and Portugal with one unit of equivalent resources.Initially there is no trade.Once trade opens up,transportation costs are assumed to be zero.
TABLE 32-5
-Refer to Table 32-5.The comparative advantage in cheese is held by
A) Spain.
B) Portugal.
C) both countries.
D) neither country.
E) Insufficient information to know.
Correct Answer:

Verified
Correct Answer:
Verified
Q9: The concept of comparative advantage in international
Q16: The diagram below shows Robinson Crusoe's annual
Q17: The diagram below shows the (hypothetical)demand and
Q18: Ireland and Japan are assumed to produce
Q20: The diagram below shows the (hypothetical)demand and
Q24: The following diagrams show the production possibilities
Q25: According to David Ricardo's principle of comparative
Q37: Consider Canada's terms of trade.Canada is a
Q92: If a country is not engaged in
Q130: When two countries are specializing and trading