Question on: SS3 Economics - Principle of Comparative Cost Advantage And Its Limitations

What does the principle of comparative cost advantage assume about resources within a country?

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A

That resources are freely mobile between different sectors

B

That resources are scarce and should be preserved

C

That resources can only be used for one sector of production

 

D

That resources are abundant and can be used for any sector of production

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Correct Option: A

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