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Q. |
The opportunity cost of producing computers in terms of Web pages is 50 in Country A and is 10 in Country B. Based on the Ricardian model, what can we conclude about the pattern of trade? |
A. | Country A will export computers and import Web pages. |
B. | We need to know what the relative price of computers in terms of web pages is to answer this question. |
C. | We need to know what wages are to answer this question. |
D. | Country A will export Web pages and import computers. |
Answer» D. Country A will export Web pages and import computers. |
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