--%>
Assignment Help - homework help

Problem regarding Comparative advantage

Assume that El Salvador can generate coffee at lower opportunity costs than Spain, whereas Spain can generate olive oil at lower opportunity costs than El Salvador. The citizens of both countries can potentially profit from international trade since of the efficiency related with: (1) Positive economics. (2) Comparative advantage. (3) The circular flow model. (4) Diminishing returns. (5) Normative economics.

Can someone please help me in finding out the right answer of the above question.

   Related Questions in International Economics

  • Q : Influence of supply in exchange rate

    Normal 0

  • Q : Techniques what are the techniques of

    what are the techniques of balance of payment?

    		•
  • Q : Inflow of foreign currency Determine

    Determine the factors accountable for inflow of foreign currency? Answer: a) Foreigners buying home country services and goods via exports. b) Foreigners investment in home country via joint ventures and via

    		•
  • Q : How Balance of payments always balances

    Balance of payments (BOP) always balances. Describe it. Answer: Balance of payments is for all time balanced. The negative balance on current account is equated wit

    		•
  • Q : System characterization of US economy

    The U.S. economy is an instance of a system characterized by: (1) Mixture of different aspects of various economic systems. (2) Strictly decentralized the decision making process. (3) Centralized ownership of resources. (4) Political decisions regarding all allocative

    		•
  • Q : Problem related to Capitalism leisure

    The French phrase ‘laissez-faire’ almost translates as: (1) Enjoy your leisure. (2) Let the buyer be cautious. (3) All other things held steady. (4) Leave us alone. (5) Labor is a source of all the value.

    Q : Economics Hi Can you give estimate for

    Hi Can you give estimate for this assignment please look at attachment page no for questions, book for case studies as in pdf. Assignment2: Page no 52 Assignment3:Case Analysis 74 Assignment4:Case analysis-98 Mini-99 Assignment5: Case analysis-122 Assignment6:Paper-126-127 Most the infor

    		•
  • Q : Define Managed floating rate system

    Managed floating rate system: This is a system in which foreign exchange rate is found out by market forces and central bank is a key contributor to stabilize the currency in condition of tremendous appreciation or depreciation.

    		•
  • Q : Define foreign exchange rate Foreign

    Foreign exchange rate: The Foreign exchange rate is a price of foreign currency in terms of domestic currency.

    		•
  • Q : Key challenges to india's economic

    Identify the key challenges to india's economic development. To what extent the second generation reforms will tackle the current challenges of india's development

    		•