Much production in the world today closely resembles what is predicted by the ________.
A) new trade theory
B) international product life cycle
C) theory of comparative advantage
D) theory of factor proportions

Question

Quizplus · Accepted Answer

The theory of comparative advantage explains how countries can gain by specializing in the production of goods they can produce more efficiently and trading them for goods they produce less efficiently, which closely resembles much of the production and trade patterns observed in the world today.

Much Production in the World Today Closely Resembles What Is