9. The Ricardian model demonstrates thatA) trade between two countries may benefit both regardless of which good each exports.B) trade between two countries may benefit both if each exports the product in which it has acomparative advantage.C) trade between two countries will benefit both countries.D) trade between two countries may benefit one but harm the other.E) trade between two countries always benefits the country with a larger labor force.

. Trade between two countries can benefit both countries ifA) each country enjoys superior terms of trade.B) each country has a more elastic demand for the imported goods.C) each country has a more elastic supply for the exported goods.D) each country produces a wide range of goods for export.E) each country exports that good in which it has a comparative advantage.

In the Ricardian model, one of the countries does not gain from trade, while another enjoys gains from trade when  Countries have similar technologies Correct Answer  One country is much larger than another   Countries have different technologies and are of comparable size You Answered  One country has comparative advantage in production of both goods

7. The Ricardian model attributes the gains from trade associated with the principle of comparativeadvantage result toA) differences in resources.B) differences in technology.C) gravity relationships among countries.D) differences in preferences.

10. The Ricardian model of comparative advantage lends support to the argument thatA) trade tends to worsen the conditions of unskilled labor in rich countries.B) trade tends to worsen the conditions of owners of capital in rich countries.C) trade tends to worsen the conditions of workers in poor countries.D) trade tends to worsen the conditions of workers in rich countries.E) trade is mutually beneficial to the countries that engage in it.

In the Ricardian model, if a country's trade is restricted, this will cause all except which?A) limited specialization and the division of laborB) reduced volume of trade and reduced gains from tradeC) nations to produce inside their production possibilities curvesD) a country to produce some of the product of its comparative disadvantageE) raised costs as more diverse product is produced internally