Multiple Choice
Use the following to answer questions:
Figure: Comparative Advantage
-When countries produce those goods for which they have a comparative advantage:
A) total production and consumption will increase in all countries.
B) trade will increase, but production will decrease.
C) at least one country will be worse off; maximizing production comes from producing those goods for which they have the absolute advantage.
D) they are maximizing their opportunity costs.
Correct Answer:

Verified
Correct Answer:
Verified
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