The table below shows units of wheat and cloth produced by each worker per day in both the countries. Table 20.1
-Refer to Table 20.1.Which of the following assumptions holds true for the example?
A) The goods are produced by using different factors of production
B) Labor productivity alone determines the comparative advantage
C) Each of the countries will produce and export wheat and cloth
D) Both the countries have identical factor endowments
E) The taste and preference of the consumers are dissimilar in the two countries
Correct Answer:
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Q1: The table given below shows the absolute
Q2: Whether exchange is between individuals,firms,or countries,voluntary trade
Q3: The table below shows units of wheat
Q4: Which of the following counties are largely
Q5: The table below shows units of wheat
Q6: The table below shows units of wheat
Q8: Which of the following factors are least
Q11: Nations trade what they produce in excess
Q12: The table given below shows the absolute
Q13: The table below shows units of wheat
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