Author Question: Which of the following is correct about comparative advantage? A) Some countries will have a ... (Read 63 times)

littleanan · **on:** Jun 29, 2018

Which of the following is correct about comparative advantage?

A) Some countries will have a comparative advantage in everything.
B) A country has a comparative advantage in the production of a good if it can produce the good at lower opportunity cost than any other country.
C) Having a comparative advantage without an absolute advantage is impossible.
D) A comparative advantage in a good means that the country can produce more of the good than any other country.
E) None of the above answers is correct.

Question 2

In the United States, the ________ has the official responsibility for foreign exchange intervention.

A) State Department B) International Trade Commission
C) Department of Commerce D) Treasury Department