Download App

International Economics — Economics STD 12 — Question

Tamilnadu BoardEnglish MediumSTD 12EconomicsInternational Economics3 Marks
Question
Write Adam Smith’s theory of Absolute Cost Advantage Assumptions?
✓

Answer

Assumptions:
  1. There are two countries and two commodities (2 x 2 model).
  2. Labour is the only factor of production.
  3. Labour units are homogeneous.
  4. The cost or price of a commodity is measured by the amount of labour required to produce it.
  5. There is no transport cost.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "[ 3 Marks Questions ]" from International Economics→International Economics — all question types→Economics STD 12 question papers→Tamilnadu Board STD 12 question papers→Tamilnadu Board question paper generator→

Similar questions

Explain the Trade cycle Depression?
→
Define “Sarvodaya plan”?
→
Difference between NEFT and RTGS?
→
Write note on “Remedial Measures to control land pollution?
→
Write the Factor Incomes group?
→
Write the objectives of World Bank?
→
Define “Financial system.”?
→
Write the Accelerator Assumptions?
→
Discuss the estimating the national income through the Income Method precautions?
→
Explain the objectives of WTO?
→