Elucidate unequivocally why the foundation of trade

Assignment Help Macroeconomics

Reference no: EM1340277

The theory of comparative advantage

Explain unequivocally why the foundation of trade has nothing to do with absolute advantage and only the law of comparative advantage is relevant.

Isn't free trade good for two countries even if one of them has an absolute advantage (in terms of low costs and productivity) in all goods and services produced?

Reference no: EM1340277

Questions Cloud

Finding critical path and minimum project completion time : Given the following data, find the critical path and the minimum project completion time.

Why foreign firms do not sell equity securities in u.s. : Give the reason why more foreign firms do not sell equity securities in the U.S.

What f2 phenotypes and proportions are expected : White fruit color in summer squash is dependent on dominant allele W and colored fruit on recessive allele w. In the presence of ww and a dominant gene G, the color of the fruit is yellow.

Effects of cold war american culture : What effect did the Cold War have on American culture? What about effects with regard to anti-communism?

Elucidate unequivocally why the foundation of trade : Elucidate unequivocally why the foundation of trade has nothing to do with absolute advantage and only the law of comparative advantage is relevant.

Computing the earned value completed : Compute the earned value completed and the total planned cost for the project at completion.

Nafta was a best decision for the us : If the United States lost hundreds of thousands of jobs, how is it that NAFTA was a best decision for the US also probably not for Mexico and Canada

Effect of variable cost on planned contribution margin : What effect would a 3 percent decrease in variable cost have on planned contribution margin?

A cross between pure red tomato and yellow tomato : Cross between pure red tomato and yellow tomato made all red F1 progeny. From the F2 progeny of 400 plants, 90 were yellow. Hypothesize that a single pair of allele is involved such that Y- = Red and yy = Yellow. Test this hypothesis using Chi squ..

User Account

All Pages