Question

ECONOMICS

Which of these describes the law of comparative costs?

A)Countries with the most efficient factors of production could produce the most profitable goods.

B)Regions and countries should produce goods based on competition.

C)If you overuse a factor of production, it will not be as efficient as before.

D)An increase in supply will create an equal increase in demand.
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Answer 1

A)Countries with the most efficient factors of production could produce the most profitable goods.