Multiple Choice
Given free trade,small nations tend to benefit the most from trade since they:
A) Are more productive than their large trading partners
B) Are less productive than their large trading partners
C) Have demand preferences and income levels lower than their large trading partners
D) Enjoy terms of trade lying near the opportunity costs of their large trading partners
Correct Answer:

Verified
Correct Answer:
Verified
Q1: The mercantilists maintained that a free-trade policy
Q102: If the international terms of trade settle
Q103: A term-of-trade index that equals 90 indicates
Q105: Table 2.2.Output possibilities for South Korea and
Q106: If Japan and France have identical production
Q108: Incomplete specialization may be caused by<br>A) Increasing
Q109: Under free trade,Canada would not enjoy any
Q116: Is it possible for comparative advantage to
Q189: Complete specialization usually occurs under the assumption
Q197: Compared to Ricardian trade theory, modern trade