Refer to Table 2-7. Which of the following statements is true? ...

[ec501234]

Refer to Table 2-7. Which of the following statements is true?
 
  A) Minnie has an absolute advantage in making umbrellas and Mickey in making hats.
  B) Minnie has an absolute advantage in making both products.
  C) Minnie has an absolute advantage in making hats and Mickey in making umbrellas.
  D) Mickey has an absolute advantage in making both products.

Question 2

Which of the following would cause the dollar to depreciate?
 
  A) an increase in the demand for dollars
  B) a decrease in the demand for imports from foreign countries
  C) a decrease in the supply of dollars
  D) a decrease in the demand for dollars

[Silverbeard98]

Answer to Question 1

A

Answer to Question 2

D