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Specialisation and trade

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Question 18

How does comparative advantage explain why Japan imports wheat from Australia?

A

Australian farmers can export tariff-free to Japan

B

Australia can produce wheat at a lower opportunity cost than Japan

C

Australia can produce wheat more efficiently at a lower absolute cost of production than Japan

D

Australia is located closer to Japan than North American wheat exporters

Markscheme

Specialisation and trade Questions

  1. A Level
  2. /Economics
  3. /Specialisation and trade

35 exam-style questions on OCR A Level Economics Specialisation and trade. Each one has a worked solution and a mark scheme showing where the marks go.

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