Which of the following factors is taken into consideration by David Ricardo's theory of comparative advantage in order to explain the pattern of international trade?
A) absolute advantage of a country with reference to natural resources
B) proportions in which the factors of production are available
C) international differences in labor productivity
D) ability of firms to cope with late-mover disadvantages
E) ability of firms to capture first-mover advantages
Correct Answer:
Verified
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