A. South Korea should specialize in producing TV sets because it has a lower opportunity cost. B. South Korea should specialize in producing cars because it has a lower opportunity cost. C. Japan and South Korea should both specialize in producing cars because they both have a lower opportunity cost. D. Japan should specialize in producing TV sets because it has a lower opportunity cost.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
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A. South Korea should
specialize in producing TV
sets because it has a lower
opportunity cost.
B. South Korea should
specialize in producing cars
because it has a lower
opportunity cost.
C. Japan and South Korea
should both specialize in
producing cars because they
both have a lower
opportunity cost.
D. Japan should specialize in
producing TV sets because
it has a lower opportunity
cost.
Transcribed Image Text:A. South Korea should specialize in producing TV sets because it has a lower opportunity cost. B. South Korea should specialize in producing cars because it has a lower opportunity cost. C. Japan and South Korea should both specialize in producing cars because they both have a lower opportunity cost. D. Japan should specialize in producing TV sets because it has a lower opportunity cost.
Japan and South Korea make cars
and TV's. The amount of each item
that each country can make in one
hour can be seen in the table.
Televisions Cars
South
Korea
175
25
Jаpan
225
450
Which of the following explains
how the two countries can use
comparative advantage to their
benefit?
Transcribed Image Text:Japan and South Korea make cars and TV's. The amount of each item that each country can make in one hour can be seen in the table. Televisions Cars South Korea 175 25 Jаpan 225 450 Which of the following explains how the two countries can use comparative advantage to their benefit?
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