If a Chinese worker can produce1 ton of wheator3 tons of cornper week, while a Brizilian worker can produce2 tons ofwheator5 tons of cornper week:
A: Brizil has absolute advantage in both goods.
B: Brazil has comparative advantage in corn and China has comparative in wheat.
C: Brazil has comparative advantage in wheat and China has comparative in corn.
D: Chinahas absolute advantage in corn.
A: Brizil has absolute advantage in both goods.
B: Brazil has comparative advantage in corn and China has comparative in wheat.
C: Brazil has comparative advantage in wheat and China has comparative in corn.
D: Chinahas absolute advantage in corn.
举一反三
- Given the information in the following table, __________.[img=231x72]17de7621169bfb0.png[/img] A: neither country has a comparative advantage in cloth. B: Home has a comparative advantage in widgets. C: Foreign has a comparative advantage in widgets. D: Home has a comparative advantage in both cloth and widgets.
- In one day, Brandon can either plow 10 acres or plant 20 acres. In one day, Christopher can either plow 14 acres or plant 14 acres. Which of the following statements about comparative advantage is correct A: Brandon has a comparative advantage in both plowing and planting. B: Brandon has a comparative advantage only in plowing. C: Brandon has a comparative advantage only in planting. D: Christopher has a comparative advantage in both plowing and planting.
- Given the information in the following table, _________. Unit labor requirements Cloth Widgets Home 10 20Foreign 60 30 A: neither country has a comparative advantage in cloth. B: Home has a comparative advantage in widgets. C: Foreign has a comparative advantage in widgets. D: Home has a comparative advantage in both cloth and widgets.
- Suppose Jim and Tom can both produce baseball bats. If Jim’s opportunity cost of producing baseball bats is lower than Tom’s opportunity cost of producing baseball bats, then A: Tom must have an absolute advantage in the production of baseball bats. B: Jim must have an absolute advantage in the production of baseball bats. C: Tom has a comparative advantage in the production of baseball bats. D: Jim has a comparative advantage in the production of baseball bats.
- When one producer has a lower opportunity cost of production than another producer for a given item, what exists? A: Absolute disadvantage B: Comparative disadvantage C: Comparative advantage D: Absolute advantage