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Assume the Nation of Cropland Does Not Trade with the Rest

Question 26

Multiple Choice

Assume the nation of Cropland does not trade with the rest of the world.By comparing the world price of corn to the price of corn in Cropland,we can determine whether


A) consumer surplus exceeds producer surplus in Cropland.
B) Cropland has an absolute advantage in producing corn.
C) Cropland has a comparative advantage in producing corn.
D) All of the above are correct.

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