Rapidly growing developing countries tend to be borrowers on the international capital markets.From this information we may surmise that they have a comparative advantage in
A) future income.
B) capital goods.
C) disposable income.
D) consumer goods.
E) present income.

Question

Quizplus · Accepted Answer

Rapidly growing developing countries borrow on international capital markets because they expect higher future income, which they can use to repay the borrowed funds. This indicates a comparative advantage in future income.

Rapidly Growing Developing Countries Tend to Be Borrowers on the International