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As first stated by Ricardo, specialization occurs because, through trade, this leads to the most benefits for all trading entities. They choose to produce whatever it is in which they have comparative advantage, that is the lowest opportunity cost. For example, given a set of resources (land, labor, capital, entrepreneurs, time), each country will be able to produce several products, but in one of them they are more efficient and have lower costs, so they naturally specialize because they are better at producing this good. The production possibilities frontier is extended past its normal barrier with trade because both countries benefit from producing what they are good at and importing those things in which they do not have a comparative advantage.
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What is the best situation where an oligopoly exists?
A small number of producers command nearly the entire market for a certain good of service
What is the amount of a good or service that consumers are willing to buy at a certain price?
supply
What economic law states that the quantity of a good or service that consumers will buy varies inversely with the price of the good or service?
India's national animal is tiger
Why do nations specialize in certain goods and services?
Because countries have different natural, human, and capital resources and different ways of combining these resources, they are not equally efficient at producing the goods and services that their residents demand. The decision to produce any good or service has an opportunity cost, which is the amount of another good or service that might otherwise have been produced. Given a choice of producing one good or another, it is more efficient to produce the good with the lower opportunity cost, using the increased production of that good to trade for the good with the higher opportunity cost.
The law of demand state that all else constant?
The law of demand states that all other factors being equal, as the price of a good or service increases, consumer demand for the good or service will decrease. The opposite happens if the price decreases the need for the good or service increases.
Definition for ''law of demand''?
In economics, the law of demand states:- As the price of a good or service increases, the demand for that good or service will decrease.- As the price of a good or service decreases, the demand for that good or service will increases.
What is the control of all trade and production of a certain good or service?
A corporation
How many car insurance companies have good ratings?
There are many car insurance companies that have good ratings as all of the companies can either specialize in certain cars or offer specific discounts for certain brands or models. There are hundreds of companies with good reviews.
What is the best situation where an oligopoly exists?
A small number of producers command nearly the entire market for a certain good of service
What is the amount of a good or service that consumers are willing to buy at a certain price?
supply
Where is a good place for medical school for a doctor?
In Canada and the States, all provinces, and states will have a reliable med school. If you want to specialize then I suggest you research the topic further.
When might a country specialize in producing a particular good?
When a country has an absolute advantage in production of that good it may specialize in producing that good.
What economic law states that the quantity of a good or service that consumers will buy varies inversely with the price of the good or service?
India's national animal is tiger
What is meant by the term specialization?
an person that specializes in a certain thing. Example: in town a person might be good at farming so that person would specialize in farming.
Why do nations specialize in certain goods and services?
Because countries have different natural, human, and capital resources and different ways of combining these resources, they are not equally efficient at producing the goods and services that their residents demand. The decision to produce any good or service has an opportunity cost, which is the amount of another good or service that might otherwise have been produced. Given a choice of producing one good or another, it is more efficient to produce the good with the lower opportunity cost, using the increased production of that good to trade for the good with the higher opportunity cost.
Where is a good salvage yard to find a high quality transmission?
Without knowing where you reside, it is impossible to tell you a good salvage yard in your area. There are salvage yards that specialize in certain types of vehicles as well.
What services does Mecca Bingo offer?
Mecca Bingo is a service center that helps locate local Bingo playing arenas in certain states. Tourists can find out where all of the good Bingo houses are while planning vacations.
