Answer:
Absolute advantage: The ability to produce more cheaply.
Comparative advantage: The existence of lower opportunity costs than competitors.
Specialization: The performance of a particular task within an economic system.
Protectionism: The existence of barriers to free-flowing trade.
Explanation:
The four terms that are defined above have to do with trade and the economic theories behind the different trade policies that countries employ. Protectionism is employed when countries want to avoid trade with outside countries and to lower competition with outside countries. Therefore, a country may impose tariffs that make importing goods very expensive. A country will have an absolute advantage in a product if they can make it much cheaper than another country. For example, timber products in Canada will cost less because they have an abundance of forests compared to other countries. A country may have an absolute advantage in one industry but that still may not be its comparative advantage. The country will have to weigh the trading opportunity costs are. Say that one country has no farmland but it has lots of oil. The other country has farmland and oil, but is willing to forgo trading oil in order to trade food for oil with the other country because the opportunity costs for forgoing oil are lower. Now the second country has a comparative advantage in food and the first country has a comparative advantage in oil. David Ricardo believed that comparative advantage would lead to specialization as in countries would specialize in the products they have a comparative advantage in.
Answer:
The greatest technological development of this time was irrigation. Originally the Mesopotamia’s’ believed their sole purpose was to serve the gods and provide them with luxuries such as fine clothes and lodging. Their communities consisted of 35 politically equal cites with religious sanctuaries. All cities were known as spiritual and economic. Social hierarchies began to grow, separating the privileged, and the less privileged. The Sumerians and the Akkadians believed in a group of gods that controlled everything including their political institutions. Each major god of the Sumerian pantheon lives in a luxury temple in the part of the city that he/she created, thus bettering each cities character and relationships with its neighbors. Royal palaces also revealed the power of
the elite, being the official home of the ruler and his family. Social hierarches were very important in Sumerian city-states. Ruling groups had access to economic and political resources. The kings/ priests were at the top of the list, then bureaucrats, followed by supervisors and craft workers, and traders. Movement among classes was very rare. Mesopotamia was the first to develop a complex writing system. They were the first record keepers and readers. This gave rise to written narratives. Due to rising populations,there was a lot of competition among these societies that often led to violence. The Chinese culture took a little longer to urbanize, although they eventually got there, they had some troubles in the beginning. Their animals for instance weren’t very domesticated, and deserts made it harder to migrate
Explanation:
A. Japan Devalued it's Currency. This lowered the value of its money compared to foreign currencies. Likewise, Japanese products were less expensive than imports.
