If a nation begins to trade, it will be able to sell (export) the product for which its own relative price is:
A) lower than other nations.
B) higher than other nations.
C) the same as other nations.
D) less than 10% of the value of other nations.

Question

Quizplus · Accepted Answer

A nation will export products for which its own relative price is lower than other nations because it has a comparative advantage in producing those goods more efficiently or at a lower cost.

If a Nation Begins to Trade, It Will Be Able