True Or False

[TanyaD]

a) International trade between countries A and B can be mutually profitable even though A can produce every commodity more cheaply than B

b) If two countries trade corn and steel, each must have an absolute advantage in the product it export

c) a basic reason for international capital movements is that different rates of return are available in different countries.

d) Foreign trade permits a country to move its consumption out beyond its domestic production-possibility curve.