Post Utme Rsu 2021 Commerce Question 31

Practice objective / multiple choice question 31 from the 2021 Post Utme Rsu Commerce examination.

Post Utme Rsu 2021 Commerce Objective / Multiple Choice
Question 31 POST_UTME_RSU • 2021 • COMMERCE • objective

The concept of comparative advantage in international trade is based on the idea that countries should specialize in producing goods for which they have a lower opportunity cost. Which of the following is a correct example of comparative advantage?

Answer Options

A. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 50 units of wheat and 100 units of cloth.
B. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 50 units of wheat and 150 units of cloth.
Correct Answer C. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 150 units of wheat and 50 units of cloth.
D. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 50 units of wheat and 100 units of cloth.
Correct Answer
C
Correct Option:
Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 150 units of wheat and 50 units of cloth.

About This Question

This is Post Utme Rsu 2021 Commerce Question 31. It is one of the objective questions from the 2021 Post Utme Rsu Commerce examination.

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