According to which theory one country may be more efficient in producing a particular goods than another country and that another country may be capable of producing some other goods more efficiently than the first one?
A. Thoery of comparative advantage
B. Theory of absolute advantage
C. Theory of international product life cycle
D. None of the above
Answer: Option B
Related Questions on Foreign Trade Policy
A. Importing
B. Exporting
C. Franchising
D. Joint Ventur
Foreign trade helps each country to make . . . . . . . . use of its natural resources.
A. optimal
B. loss
C. better
D. none of these
The effects of foreign trade on the domestic economy maybe at
A. Micro level
B. Macro level
C. Both A and B
D. Neither A nor B
A. Chief controller of Imports and Exports
B. Director General of Foreign Trade
C. Director General of Commercial Intelligence
D. Chief Controller of Foreign Trade

Join The Discussion