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The Principle of Comparative Advantage

Question 56

Multiple Choice

The principle of comparative advantage


A) does not hold true in cases of constant opportunity costs.
B) does not hold true in cases of increasing opportunity costs.
C) holds true in cases of constant opportunity costs but not in cases of increasing opportunity costs.
D) holds true in cases of increasing opportunity costs, as it does with constant opportunity costs.
E) may or may not hold true in cases of increasing opportunity costs.

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