Question

Which of the following is mentioned in the text as a theory of international business?

a) Newton's Law of Motion
b) Freudian Psychoanalysis
c) Theory of Comparative Advantage
d) Kepler's Laws of Planetary Motion

Answer 1

The theory of Comparative Advantage is mentioned as a theory of international business. It explains how countries can benefit from specializing in the production of goods and services in which they have a lower opportunity cost compared to other countries.c) Theory of Comparative Advantage

Step-by-step explanation:

The theory of Comparative Advantage is mentioned in the text as a theory of international business. It is a concept in economics that explains how countries can benefit from specializing in the production of goods and services in which they have a lower opportunity cost compared to other countries. By focusing on their areas of comparative advantage, countries can increase efficiency, trade, and economic growth.