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A Country Is Said to Have an Absolute Advantage in the Production

Question 7

Multiple Choice

A country is said to have an absolute advantage in the production of a good when:


A) its opportunity cost of producing the good is lower than another country.
B) it can produce the good using less resources than another country.
C) it specialises in the production of the good.
D) its opportunity cost of producing the good is higher than another country.

Correct Answer:

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