The Ricardian model employs the concept of alternate uses of economic resources in production. We refer to this technique as:

The graph shows Home's international trading pattern. Point P is production with trade, and point C is consumption with trade. Which product does Home import?

Whenever a nation has a lower opportunity cost of producing any good or service in relative terms, that nation is said to have:

A country's indifference curve describes combinations of goods that:

 The graph shows Home's international trading pattern. Point P is production with trade, and point C is consumption with trade. Which product does Home export?

David Ricardo's model explains trade based on:

The Ricardian model becomes simpler and more illustrative by assuming a single factor of production is used for producing goods. What factor of production did Ricardo use?

Ricardo's trade theory challenged the economic doctrine known as _____________, which held the belief that a nation benefited from gaining gold or silver through exports and suffered when losing these precious metals through imports.

Mercantilists believed that:

The indifference curve represents: