Match the given situations to the different policies followed in global trade,
takes the lowest cost
into consideration
takes the opportunity
cost into consideration
china produces rice at
the lowest cost than any
other country
united states manufactures
machines at a much lesser
opportunity cost than other
countries.
united states imports electronics
even though it has the capability
of manufacturing themmore
efficientlythan china.
absolute advantage policy
omparative advantage policy
bt