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Differences in the Productivity of Labor Account for Comparative Advantage

Question 78

Multiple Choice

Differences in the productivity of labor account for comparative advantage if:


A) the minimum wage varies across the countries.
B) the size of the domestic market varies across the countries.
C) different countries have differences in labor hours required to produce each good.
D) the strength of workforce varies across countries.
E) the laborers are paid different wages in different countries.

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