Author Question: The idea of comparative advantage implies that people or countries A) should specialize in the ... (Read 91 times)

haleyc112 · **on:** Jun 29, 2018

The idea of comparative advantage implies that people or countries

A) should specialize in the production of goods.
B) can gain from trading.
C) can consume at a point outside their production possibilities frontier.
D) all of the above.

Question 2

A buyer is willing to buy 10 units of a good at a maximum price of 10 per unit. The reservation value of the buyer in this case is:

A) 1.
B) 10.
C) 20.
D) 100.