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According to the theory of comparative advantage, a country gains from foreign trade even though it ...

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According to the theory of comparative advantage, a country gains from foreign trade even though it ...

According to the theory of comparative advantage, a country gains from foreign trade even though it may have an absolute advantage in the production of all products because ________.
A) the country will forego producing its less efficient output in order to produce its more efficient output
B) workers become more efficient through specialization
C) economies of scale will reduce cost
D) there will be more incentive to develop cost-saving technologies

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International Business

Edition: 15^th

Authors: Daniels, Radebaugh, Sullivan

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