2014 · Q99
Which of the following theories form the basis of international trade ?
- 1Absolute cost difference
- 2Comparative cost difference
- 3Opportunity cost
Select the correct answer using the code given below :
General KnowledgeIndian Economy
- A1 only
- B2 only
- C1 and 2 only
- D1, 2 and 3
Explanation
Absolute advantage, comparative advantage and opportunity cost all underpin trade theory.