According to David Ricardo's principle of comparative advantage,there will be gains from international trade
A) only by a country with an absolute advantage in the production of some commodity.
B) only by developed countries.
C) by any trading country with opportunity costs similar to other countries.
D) by only one country if opportunity costs are identical across countries.
E) by any country with opportunity costs different from other countries.
Correct Answer:
Verified
Q65: This table shows how much wine and
Q66: This table shows how much cotton and
Q67: This table shows how much wine and
Q68: In addition to realizing the benefits of
Q69: When specialization according to comparative advantage also
Q71: The diagram below shows Robinson Crusoe's annual
Q72: This table shows how much cotton and
Q73: The diagram below shows Robinson Crusoe's annual
Q74: This table shows how much wine and
Q75: The diagram below shows Robinson Crusoe's annual
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents