Which of the following would not result from all countries specializing according to the principle of comparative advantage?
A) The size of the economic pie would increase.
B) Worldwide production of goods and services would increase.
C) The well-being of citizens in each country would be enhanced.
D) Each country's production possibilities frontier would shift outward.

Question

Quizplus · Accepted Answer

Specializing according to comparative advantage increases efficiency and total output but does not shift a country's production possibilities frontier outward, which is determined by factors like resources and technology.

Which of the Following Would Not Result from All Countries