Nonprice competition refers to: Multiple Choice competition between products of different industries, for example, competition between aluminum and steel in the manufacture of automobile parts. price increases by a firm that are ignored by its rivals. advertising, product promotion, and changes in the real or perceived characteristics of a product. reductions in production costs that are not reflected in price reductions.

scenario: hawaii and south carolina are trading partners. hawaii has an absolute advantage in the production of both coffee and tea. the opportunity cost of producing 1 pound of tea in hawaii is 2 pounds of coffee, and the opportunity cost of producing 1 pound of tea in south carolina is 1/3 pound of coffee. which of the following statements is true? a. south carolina should specialize in the production of both tea and coffee. b. hawaii should specialize in the production of tea, whereas south carolina should specialize in the production of coffee. c. hawaii should specialize in the production of coffee, whereas south carolina should specialize in the production of tea. d. hawaii should specialize in the production of both tea and coffee.