Countries that engage in trade will tend to specialize in goods in which they have a(n) _ and will _ those goods.

A) comparative advantage;import
B) absolute advantage;export
C) comparative advantage;export
D) economic profit;import

Question

Countries that engage in trade will tend to specialize in goods in which they have a(n) _____ and will _____ those goods.

A) comparative advantage;import
B) absolute advantage;export
C) comparative advantage;export
D) economic profit;import

esther okere · Accepted Answer

Final Answer : C, Explanation :  The concept of comparative advantage suggests that countries should specialize in producing goods in which they have a lower opportunity cost than other countries, and then trade those goods. This leads to a more efficient allocation of resources and higher overall economic output. Therefore, countries with comparative advantage will tend to export those goods.

Countries that engage in trade will tend to specialize in goods in which they have a(n) _ and will _ those goods.

A) comparative advantage;import
B) absolute advantage;export
C) comparative advantage;export
D) economic profit;import

Definitions

Learning Objectives

Learning Objectives

Related questions

Countries that engage in trade will tend to specialize in goods in which they have a(n) _____ and will _____ those goods.A) comparative advantage;importB) absolute advantage;exportC) comparative advantage;exportD) economic profit;import

Definitions

Learning Objectives

Learning Objectives

Related questions

Countries that engage in trade will tend to specialize in goods in which they have a(n) _ and will _ those goods.

A) comparative advantage;import
B) absolute advantage;export
C) comparative advantage;export
D) economic profit;import