Which of the following refers to the concept of specialization?
A)Different individuals value goods differently.
B)Some individuals are richer than others.
C)Different nations have different opportunity costs of producing goods.
D)Some nations are richer than others.

Question

Quizplus · Accepted Answer

The concept of specialization refers to the idea that different nations have different opportunity costs of producing goods, which means that some countries have a comparative advantage in producing certain goods while other countries have a comparative advantage in producing other goods. This leads to countries specializing in certain types of goods and trading with each other, resulting in increased efficiency and greater gains from trade. The other choices (A, B, D) are not related to the concept of specialization.

Which of the Following Refers to the Concept of Specialization