« previous next »

Author Question: Don can produce 10 pens or 20 pencils in one hour while Bob can produce 5 pencils or 15 pens in one ... (Read 61 times)

arivle123

  • Hero Member
  • *****
  • Posts: 569
on: Jul 1, 2018
Don can produce 10 pens or 20 pencils in one hour while Bob can produce 5 pencils or 15 pens in one hour. Which of the following statements is correct?
 a. Don has an absolute advantage over Bob in the production of pencils and Bob in the production of pens
  b. Bob has an absolute advantage over Don in the production of pencils
  c. Bob has a comparative advantage over Don in the production of pens
  d. Don has a comparative advantage over Bob in the production of pens
  e. Don does not have a comparative advantage in the production of either good

Question 2

John takes 10 minutes to iron a shirt and 20 minutes to type a paper. Harry takes 10 minutes to iron a shirt and 30 minutes to type a paper. Which of the following statements is correct?
 a. Harry has a comparative advantage in ironing.
  b. Harry has a comparative advantage in typing.
  c. Harry has an absolute advantage in typing.
  d. Harry has an absolute advantage in ironing.
  e. Neither can gain from specialization and exchange.


sarah_brady415

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 1, 2018
Answer to Question 1

C

Answer to Question 2

A


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

During the twentieth century, a variant of the metric system was used in Russia and France in which the base unit of mass was the tonne. Instead of kilograms, this system used millitonnes (mt).

Did you know?

In 2006, a generic antinausea drug named ondansetron was approved. It is used to stop nausea and vomiting associated with surgery, chemotherapy, and radiation therapy.

Did you know?

The cure for trichomoniasis is easy as long as the patient does not drink alcoholic beverages for 24 hours. Just a single dose of medication is needed to rid the body of the disease. However, without proper precautions, an individual may contract the disease repeatedly. In fact, most people develop trichomoniasis again within three months of their last treatment.

Did you know?

Essential fatty acids have been shown to be effective against ulcers, asthma, dental cavities, and skin disorders such as acne.

Did you know?

Asthma occurs in one in 11 children and in one in 12 adults. African Americans and Latinos have a higher risk for developing asthma than other groups.

Step 2 of gene cloning: The actions of a restriction enzyme and DNA ligase to produce a recombinant Step 2 of gene cloning: The actions of a restriction enzyme and DNA ligase to produce a recombinant
Basidiomycetes produce diverse fruiting bodies. Basidiomycetes produce diverse fruiting bodies.
An AC voltage is produced by a magnetic sensor. Most sensors should produce at least 0.1 volt AC ... An AC voltage is produced by a magnetic sensor. Most sensors should produce at least 0.1 volt AC ...
The Accessory Organs The liver, gallbladder, and pancreas produce digestive secretions that flow The Accessory Organs The liver, gallbladder, and pancreas produce digestive secretions that flow
Find the factor demand for labour and the amount of output it will produce. Show all ... Find the factor demand for labour and the amount of output it will produce. Show all ...
Mg can react with HCl to produce the white solid MgCl2 and H2 gas. A student mixes 1.99 g of ... Mg can react with HCl to produce the white solid MgCl2 and H2 gas. A student mixes 1.99 g of ...
Video: Hormonal regulation of blood pressure - RAA system

For a complete list of videos, visit our video library