--%>
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 : International portfolio investments 5.

    5. What are the factors responsible for the recent surge in international portfolio investment?

    		•
  • Q : LORENZ CURVE THE AREA BETWEEN THE

    THE AREA BETWEEN THE LORENZ CURVE OF A COUNTRY AND THE DIAGONAL OF PERFECT EQUALITY REPRESENT

    		•
  • Q : Problems suppose that an investor has

    suppose that an investor has an extra cash reserve of $1000000 to invest for one year. annually rate is 10%

    		•
  • Q : International trade product life cycle

    I NEED TO UNDERSTAND MORE ABOUT PRODUCTION POSSIBILITY FRONTIER

    		•
  • Q : Scarcities in International markets

    Assume that many people are willing and capable to pay greater than production costs for certain goods however pervasive shortages exist. International agreements or domestic laws and policy are most likely key factors if we consider sustained scarcities in ma

    		•
  • Q : Economic Growth of a country Can

    Can someone help me in determining the right answer from the given options. The economic growth in a country is least possible to occur as a result of: (1) Advances in the technology (2) Rises in rates of saving and investment. (3) Enhancements in its

    		•
  • Q : Kind of exchange rate State which kind

    State which kind of exchange rate has no official intervention in foreign exchange market? How it is recognized?

    		•
  • Q : Autonomous or accommodating carry

    Which transactions- autonomous or accommodating carry balance in BOP? Answer: Accommodating transactions carry balance in the BOP or balance of payment.

    		•
  • Q : Exchange rates-a question of demand and

    ‘Can foreign exchange markets be analyzed in similar manner as the markets for ordinary physical commodities? Do demand slope downwards and supply slope upwards for currencies?’

    		•
  • Q : Problem related to direct foreign

    China is a huge manufacturer of technology of telephone devices. It has lately become a member of W.T.O. that means it can sell its products in other member countries such as India. Assume that it does export a big number of telephone instruments to India: