If workers in Mexico produce fewer goods and services per hour than workers in the United States in all areas of production,then

Question

Quizplus · Accepted Answer

Even if Mexico produces fewer goods and services per hour, it does not mean they are entirely inferior in every area of production. For instance, Mexico might be more efficient in producing some goods, whereas the U.S. might excel in others. As a result, both countries can benefit from trade by specializing in the goods and services they can produce more effectively and trading them with each other. Therefore, both countries can gain from trade, making Option D the correct answer.

If Workers in Mexico Produce Fewer Goods and Services Per