Are the following statements true or false? Explain ineach case.a. “Two countries can achieve gains from trade evenif one of the countries has an absolute advantagein the production of all goods.”b. “Certain talented people have a comparativeadvantage in everything they do.”c. “If a certain trade is good for one person, it can’tbe good for the other one.”d. “If a certain trade is good for one person, it isalways good for the other one.”e. “If trade is good for a country, it must be good foreveryone in the country
Are the following statements true or false? Explain ineach case.a. “Two countries can achieve gains from trade evenif one of the countries has an absolute advantagein the production of all goods.”b. “Certain talented people have a comparativeadvantage in everything they do.”c. “If a certain trade is good for one person, it can’tbe good for the other one.”d. “If a certain trade is good for one person, it isalways good for the other one.”e. “If trade is good for a country, it must be good foreveryone in the country
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
Are the following statements true or false? Explain in
each case.
a. “Two countries can achieve
if one of the countries has an absolute advantage
in the production of all goods.”
b. “Certain talented people have a comparative
advantage in everything they do.”
c. “If a certain trade is good for one person, it can’t
be good for the other one.”
d. “If a certain trade is good for one person, it is
always good for the other one.”
e. “If trade is good for a country, it must be good for
everyone in the country
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