Econ 17.1

goods and services that a country produces and then sells to other countries

• exports

• imports

• absolute advantage

• comparative advantage

• international trade

goods and services that one country buys from other countries

• exports

• imports

• absolute advantage

• comparative advantage

• international trade

a country's ability to produce a given product with greater output per unit of input than another country

• exports

• imports

• absolute advantage

• comparative advantage

• international trade

a country's ability to produce product relatively more efficiently than another country

• exports

• imports

• absolute advantage

• comparative advantage

• international trade

exchange of goods and services among nations of the world

• exports

• imports

• absolute advantage

• comparative advantage

• international trade

The basis for international trade stems from

• absolute advantage

• the differences in production costs from one country to another

• bartering

• the similarity in production costs from one country to another

The United States imports

• thousands of dollars in products each year

• millions of dollars in products each year

• billions of dollars in products each year

• trillions of dollars in products each year

which of the following is proof that international trade is beneficial?

• the concept of absolute advantage

• the concept of comparative advantage

• the fact that free nations choose to trade

• the fact that different regions

The ability of a country to produce a product with greater output per unit of input is

• absolute advantage

• comparative advantage

• specialization

• international trade

The ability of a country to produce a good. at a relatively lower opportunity costs is

• absolute advantage

• comparative advantage

• specialization

• international trade