+3 votes
in Class 11 by kratos

Which trade theory holds that nations can increase their economic well-being by specializing in the production of goods they produce more efficiently than anyone else?

a. The factor endowment theory.

b. The theory of absolute advantage.

c. The theory of comparative advantage.

d. The international product life cycle theory.

1 Answer

+1 vote
by kratos
 
Best answer

b. The theory of absolute advantage.

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