Countries that trade on the basis of comparative advantage have __________ than countries that do not. higher production costs and transportation costs. more goods and services available to them. a lower standard of living. lower levels of labor productivity. lower levels of product quality from which to choose.

Q: Both countries of goods without any trade. better off than when there was no trade: could have the…

A: Here we can, determine the opportunity costs for each country:Mandovia:Opportunity cost of 1 Rotid =…

Q: Brazil Poland Wine 10 20 Machines 10 10 The accompanying table gives maximum-output alternatives for…

A: Opportunity cost is the next best alternative.Opportunity cost shows the forgone units of one good…

Q: The theories of absolute and comparative advantage have been offered as an economic rationale for…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: A nation has a in the production of a good or service if it can produce that good or service more…

A: According to the theory of comparative advantage, a country has a comparative advantage in the…

Q: Which of the following are common arguments against free trade? (Select all answers that are…

A: Potential argument against free trade-   Expanded Economic Growth. International alliances make…

Q: Liberal and Realist perspectives on free trade from a US policy perspective. Are there conditions…

A: According to liberalism, state priorities, instead of state capabilities, are the main determinant…

Q: Since many companies cut jobs or outsource overseas when they cannot compete with foreign companies,…

A: Free trade is a complex and contentious economic policy that has both proponents and critics. One of…

Q: Explain how is the production structure (i.e. which goods are produced) affected in each country by…

A: Comparative advantage is an economic concept that means to the ability of a nation, person, or firm…

Q: Real world examples of comparative advantage in the Philippines

A: Philippine government policies have historically been anti-agricultural. However, in the 1970s,…

Q: True or false? Free trade causes job losses in industries in which a country does not have a…

A: International trade: - it means the buying and selling of goods and services with other countries.

Q: Someone has a comparative advantage in producing a good if they can produce that good in greater…

A: The ability to create goods and services at a lower cost, without necessarily doing so at a higher…

Q: Saudi Arabia has huge oil reserves, but relies on the United States for oil rigs to extract the oil.…

A: Given:  Saudi Arabia has huge oil reserves.  It relies on U.S.A for oil rigs to extract the oil.

Q: Country X has a comparative advantage in producing paper and country Y has a comparative advantage…

A: Since the opportunity cost of production is reduced as a result of specialization, more goods are…

Q: A country has an absolute advantage in the production of a good if it can _____ of the good than…

A: A country is said to have absolute advantage in producing specific good or service if it can produce…

Q: A) the world price is much greater than the country's opportunity cost for the good

A: The opportunity cost of producing a good refers to the units of output of other goods that must be…

Q: Suppose that Bangladesh, a relatively poor, agricultural nation with a low level of technological…

A: 1. The answer is - d. Enhanced flow of ideas

Q: The advantage enjoyed by one country over another, when it has a lower opportunity cost in producing…

A: If country A is able to produce more amount of good X than country B with the same level of…

Q: In a small open economy, the government decides to remove all trade barriers, transitioning from a…

A: International economics studies how states interact in the global economy, with a focus on trade,…

Q: nation's ability to produce a product more efficiently than another country is referred to as…

A: When the two countries are open to free trade there are always gains from trade.

Q: The principle of comparative advantage helps explain trade between nations.  True  False

A: Principle of comparative advantage was given by David Ricardo and it builds on the Principle of…

Q: Gains from trade come from A) Shifting tasks to people with low opportunity costs B) Technological…

A: Gains from trade means refers to the fact that nation's imports commodities that they cannot produce…

Q: When two or more nations engage in free trade, how is the standard of livin mproved in the…

A: Free-trade is a situation where the participants of trade do not impose any restriction upon the…

Q: Please show the gains from trade for producers and consumers in bot countries Can we see a catching…

A: Trade: It refers to the goods and services that the economy exports and imports. The more the…

Q: The primary benefit that results when a nation employs its resources in accordance with the…

A: This can be defined as an economic principle that shows that a nation should specialize in producing…

Q: Which of the following is true of foreign trade zones? These are areas that are physically outside…

A: Foreign trade zones (FTZs), which provide firms with special benefits inside defined areas of the…

Q: With respect to international trade, specialization means that Multiple Choice each country consumes…

A: Specialisation refers to a process of using the skills and knowledge to produce a particular good…