Suppose that country A is twice as good at producing widgets as country B.If the currency of B is twice as valuable as the currency of A,
A) the comparative advantage will shift to an absolute advantage.
B) trade will be an improved outcome for both A and B.
C) the comparative advantage could be canceled out.
D) none of the options
Correct Answer:
Verified
Q52: MNC stands for
A)Multinational Corporation.
B)Multi-Nationalized Corporation.
C)Military National Cooperation.
D)none
Q53: The gains from trade
A)are likely realized in
Q54: MNCs can use their global presence to
A)take
Q55: Comparative advantage
A)is also known as relative efficiency.
B)can
Q56: A corporation that can source its products
Q58: An MNC can
A)be a factor that increases
Q59: Country A can produce 10 yards of
Q60: The World Trade Organization,WTO,
A)has the power to
Q61: In modern times,it is not a country
Q62: Countries A and B currently consume 400
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