International Business - International Business Section 3
31. The principle of comparative advantage asserts that
- A
A country will specialize in the export of the products that it can produce at the maximum relative cost
- B
A country will specialize in the export of the products that it can produce at the lowest relative cost
- C
A country will specialize in the export of the product that it can produce at maximum profit.
- D
None of the above
33. The effective rate of protection is defined as
- A
The extent, in percentages of which the domestic price of imported goods exceeds what their price would be in the absence of protection
- B
Difference between value-added at a particular stage of processing in domestic prices and value-added in the world price expressed as a percentage of latter
- C
Difference between value-added in world prices and value-added in the export market
- D
None of the above
