Comparative advantage is determined by the relative levels of ...

[abarnes]

Comparative advantage is determined by the relative levels of autarky prices.
 
  Indicate whether the statement is true or false

Question 2

The existence of external economies of scale
 
  A) may be associated with a perfectly competitive industry.
  B) cannot be associated with a perfectly competitive industry.
  C) tends to result in one huge monopoly.
  D) tends to result in large profits for each firm.
  E) focuses more on individual firms than the industry as a whole.

[scottmt]

Answer to Question 1

TRUE

Answer to Question 2

A