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Stella [2.4K]
2 years ago
10

If a nation has a comparative disadvantage in the production of some commodity: Group of answer choices it cannot gain from inte

rnational trade unless it has an absolute advantage in every other commodity. it can gain from international trade in that commodity only if it has an absolute advantage in that commodity. it cannot gain from international trade in the commodity. it can still gain from international trade in that commodity, by getting it at a lower opportunity cost than if it produced it domestically.
Business
1 answer:
vazorg [7]2 years ago
7 0

Answer:

it can still gain from international trade in that commodity, by getting it at a lower opportunity cost than if it produced it domestically.

Explanation:

A country has comparative disadvantage in production if it produces at a higher opportunity cost when compared to other countries.

The country with a  comparative disadvantage can gain from trade by trading the good with a country that has  comparative advantage in the production of that good. i.e. the country produces at a lower opportunity cost

For example, country A produces 10kg of beans and 5kg of rice. Country B produces 5kg of beans and 10kg of rice.  

for country A,  

opportunity cost of producing beans = 5/10 = 0.5

opportunity cost of producing rice = 10/5 = 2

for country B,  

opportunity cost of producing rice = 5/10 = 0.5

opportunity cost of producing beans = 10/5 = 2

Country B has a comparative disadvantage in the production of beans and country A has a comparative disadvantage in the production of rice

Country B should buy beans from A and A should buy rice from B

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The Dabble Corporation wants to begin exporting its products. The company needs advice about how to get started, as well as trad
Nana76 [90]

Answer:

Export Assistance Cente

Explanation:

Each U.S. Export Assistance Center is staffed by professionals from the SBA, the U.S. Department of Commerce, the U.S. Export-Import Bank, and other public and private organizations. Together, their mission is to provide the help you need to compete in today's global marketplace. Your local U.S. Export Assistance Center is your one-stop shop, designed to provide export assistance for your small- or medium-sized business.

7 0
3 years ago
You have $7,800 to deposit. Regency Bank offers 6 percent per year compounded monthly (.5 percent per month), while King Bank of
hammer [34]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

PV= $7,800

Regency Bank:

i= 0.5 percent per month

n= 19*12= 228

King Bank:

i= 6 percent annually

n=19

To calculate the final value of each bank we need to use the following formula:

FV= PV*(1+i)^n

Regency bank:

FV= 7,800*(1+0.005)^228= $24,319.61

King bank:

FV= 7,800*(1.06)^19= $23,599.68

6 0
3 years ago
A gas tax imposed by some states in which those who use the roads more pay more to maintain them is based on the _____ principle
Volgvan

The principle that's illustrated by the gas tax is known as the benefit received principle.

<h3>What's a tax?</h3>

It should be noted that a tax is a compulsory payment that generate revenue to the government.

In this case, a gas tax imposed by some states in which those who use the roads more pay more to maintain them is based on the benefits received principle.

Learn more about tax on:

brainly.com/question/25783927

8 0
2 years ago
The market risk premium is 9.0%, and the risk-free rate is 5.0%. If the expected return on a bond is 9.5%, what is its beta?
leva [86]

Answer:

The beta is 1

Explanation:

The computation of beta using the CAPM model is shown below:

As we know that

Expected rate of return = Risk free rate of return + Beta × Market risk premium

9.5% = 5% + Beta × 9.0%

9.5% - 5% = Beta × 9.0%

9.0% = Beta × 9.0%

So, the beta is 1

We simply applied the above formula so that the correct value could come

And, the same is to be considered  

4 0
2 years ago
Why was Germany particularly susceptible to a downturn in the economy? (in the 1930s)
Step2247 [10]

I believe the answer is: Germany owed large debts to other countries after World War I


After being forced to surrender in world war I, the Allies forced Germany to pay back all the expense that other countries have to made due to the war that Germany initiated as their term of surrender.

This caused a massive increase in Germany's national debt and caused a downturn in their economy.

7 0
3 years ago
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