Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by whitelisting our website.

By adjusting the model of comparative advantage to include transportation costs along with production costs we would expect ?

By adjusting the model of comparative advantage to include transportation costs along with production costs we would expect ?

A. The prices of trade goods to be lower than when there are no transportation costs
B. specialization to stop when the production costs of the trading partners equalize
C. The volume of trade to be less than when there are no transportation costs
D. The gains from trade to be greater than when there are no transportation costs