Which of the following statements is NOT true?
A) The law of comparative and absolute advantage benefits everyone all the time.
B) If the price of U.S.grain is cheaper than that of Russian grain,U.S.producers will have an absolute advantage compared to Russian producers.
C) If the price of U.S.grain is cheaper than that of Russian grain,then trade between the two countries will depend on the terms of trade.
D) If U.S.grain is cheaper than Russian grain,and U.S.producers sell cheap grain to Russia,not everyone in Russia will benefit.
Correct Answer:
Verified
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