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 an absolute advantage in the production of good X.
B) country B 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 A has a comparative advantage in the production of good X.
Correct Answer:
Verified
Q12: A country specializes in the production of
Q13: Q14: Based on the table below, at what Q15: Consider a market that, with no international Q16: Comparative advantage implies that a country will Q18: Consider a market that sells some of
A)
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