While the country of New Zafariland specializes in dairy products, its geographical neighbor, Zwansea specializes in heavy machinery. New Zafariland exports dairy to Zwansea, which in turn exports heavy machinery to New Zafariland. According to the theory of comparative advantage, this mutually beneficialtrade relationship best illustrates
A. a positive-sum game.
B. a zero-sum game.
C. the significance of trade barriers.
D. a first-mover advantage
Answers: 2
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While the country of New Zafariland specializes in dairy products, its geographical neighbor, Zwanse...
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