A nation's producers can compete effectively with imports from other nations if:

A) they have an abundance of unskilled workers.
B) the relative price of exports to imports is high.
C) the labor cost per unit of output is low.
D) they have a high opportunity cost of production.
E) they have an absolute advantage in the production of all goods.

Absolute Advantage

The ability of a country or entity to produce a good or service in a more efficient manner (with fewer resources or in less time) than other countries or entities.

Opportunity Cost of Production

The value of the best alternative use of resources that could have been used for producing something else.

Labor Cost

Represents the total expenses incurred by employers to compensate their workforce, including wages, benefits, and taxes.