Spain's Production Possibilities Table (Millions of Bushels) Production Alternatives Product Apples 20 40 60 Plums 60 40 20 New Zealand's Production Possibilities Table (Millions of Bushels) Production Alternatives Product A C Apples 20 40 60 Plums 15 10 5

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

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Q: Trade

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Comparative Advantage and Absolute Advantage Analysis

The theory of absolute advantage was given by Adam Smith in the year 1776.