The fundamental force that drives international trade is:
A) Countries' desire to increase their trade surplus
B) Cheap labor in countries like China or India
C) Absolute advantage
D) Comparative advantage
Correct Answer:
Verified
Q6: Comparative advantage implies that a country will
A)
Q7: Prior to international trade, if country A
Q9: Goods and services that we buy from
Q10: When the principle of comparative advantage is
Q12: Consider a market that is initially in
Q13: In a market open to international trade,
Q13: The fundamental force that generates international trade
Q14: The United States decides to follow its
Q15: Consider a market that sells some of
Q16: The goods and services that a country
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