Multiple Choice
According to the law of comparative advantage,a nation will benefit from international trade when it
A) imports more than it exports.
B) exports more than it imports.
C) imports goods for which it is a high opportunity-cost producer,while exporting goods for which it is a low opportunity-cost producer.
D) exports goods for which it is a high opportunity-cost producer,while importing those goods for which it is a low opportunity-cost producer.
Correct Answer:
Verified
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