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12. If the United States' production possibility frontier was flatter to the widget axis, whereas Germany's was flatter to the butter axis, we know that A. the United States has no comparative advantage B. Germany has a comparative advantage in butter. C. the U.S. has a comparative advantage in butter. D. Not enough information is given. 13. The multi-good (2-country) model differs from the two country, two product model, in that in the former, A. the relative wage ratio will determine the pattern B. one cannot determine which country will export of trade. which product given only labor productivity data. C. full specialization is less likely to hold in D. All of the above. equilibrium. 14. According to Staffan Linder, trade between two countries tends to be most pronounced when the countries: A. Find their tastes and preferences to be quite B. Experience economies of large-scale production harmonious over large output levels C. Face dissimilar relative abundances of the factors D. Find their per capita income levels to be of production approximately the same 15. The Leontief paradox questioned the validity of the theory of A. Comparative advantage B. Factor endowments C. Overlapping demands D. Absolute advantage