Suppose there are only two goods: food and clothing.What does it mean for the U.S.to have a comparative advantage in food production?
A) The U.S.needs fewer resources to grow a given amount of food than do other nations.
B) The U.S.sacrifices less clothing production to grow a given amount of food than do other nations.
C) In the U.S.,food production needs fewer resources than does a comparable amount of clothing production.
D) In the U.S.,food production costs less than does clothing production.
Correct Answer:
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