If a nation does not have an absolute advantage in producing ...

[corkyiscool3328]

If a nation does not have an absolute advantage in producing anything, it
 a. can have no comparative advantage either.
 b. will have a comparative advantage in the activity in which its disadvantage is the least.
  c. will benefit if it refuses to trade.
 d. will export raw materials and import finished products.

Question 2

Firms buy and sell the right to pollute:
 a. under a system of compliance standards.
 b. under a free market system where there is no government intervention and property rights are not well-defined.
  c. under a system of transferable pollution permits.
 d. under a pollution tax system.

[fatboyy09]

Answer to Question 1

b

Answer to Question 2

c