Prior to international trade, if country A has a lower price of good X than does country B, then we know definitely that
A) country B has a comparative advantage in the production of good X.
B) country A has a comparative advantage in the production of good X.
C) country A has an absolute advantage in the production of good X.
D) country B has an absolute advantage in the production of good X.
Correct Answer:
Verified
Q14: Comparative advantage implies that a country will
A)
Q15: The fundamental force that drives international trade
Q16: A country specializes in the production of
Q17: Consider a market that sells some of
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