International Trade

requiring or relying on something (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

the ability to produce a good or service more efficiently than another country can produce the same good or service (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

the ability to produce a good or service at a lower opportunity cost than another country (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

the act of limiting the kinds of goods and services produced (a)  

• dependent
• absolute advantage
• comparative advantage
• specialization

When one country has an absolute advantage in producing a product, then that country can typically benefit by (a)   that product.

• exporting
• importing
• hording it for themselves

Remember that (a)   is the loss of potential gain from other alternatives when one alternative is chosen. (you may have to look it up?)

• opportunity cost
• comparative advantage
• absolute advantage

If the opportunity cost for producing a particular good is lower for one country than for a second country, the first country has a (a)   for producing the good.

• opportunity cost
• comparative advantage
• absolute advantage

One type of specialization is division of (a)   .

• labor
• product
• advantage

Trade benefits all of the countries involved as long as they have __________ costs to produce goods.

• different

• similar

Countries become (a)   when trade and competition among countries increases.

• interdependent
• greedy
• cheap