Question 16
POST_UTME_FUTO
•
2022
•
COMMERCE
•
objective
The concept of specialization in production is closely related to the idea of comparative advantage. Explain how specialization leads to increased efficiency and productivity in international trade.
Answer Options
Correct Answer
A.
Specialization leads to increased efficiency and productivity because it allows countries to focus on producing goods and services in which they have a comparative advantage.
B.
Specialization leads to increased efficiency and productivity because it allows countries to reduce their production costs and increase their output.
C.
Specialization leads to increased efficiency and productivity because it allows countries to increase their exports and earn more foreign exchange.
D.
Specialization leads to increased efficiency and productivity because it allows countries to reduce their imports and increase their self-sufficiency.
Correct Answer
A
Correct Option:
Specialization leads to increased efficiency and productivity because it allows countries to focus on producing goods and services in which they have a comparative advantage.
About This Question
This is
Post Utme Futo
2022
Commerce
Question 16.
It is one of the
objective
questions from the
2022
Post Utme Futo
Commerce
examination.