Assume that Sardi and Tinaka can switch between producing corn and producing pork at a constant rate. Quantity that each make Bushel of Corn Pound of Pork Sardi 20 Tinaka 15 12 10 Refer to Table 3-1. Sardi has a comparative advantage in the production of corn and Tinaka has a comparative advantage in the production of pork. pork and Tinaka has a comparative advantage in the production of corn. both goods and Tinaka has a comparative advantage in the production of neither good. neither good and Tinaka has a comparative advantage in the production of both goods.

Assume that Sardi and Tinaka can switch between producing corn and producing pork at a constant rate. Quantity that each make Bushel of Corn Pound of Pork Sardi 20 Tinaka 15 12 10 Refer to Table 3-1. Sardi has a comparative advantage in the production of corn and Tinaka has a comparative advantage in the production of pork. pork and Tinaka has a comparative advantage in the production of corn. both goods and Tinaka has a comparative advantage in the production of neither good. neither good and Tinaka has a comparative advantage in the production of both goods.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

1. One German worker can produce either 5 cars or 10 tons of grain a year. One Japanese worker can produce either 4 cars or 5 tons of grain a year. To keep things simple, assume that each country has 100 million workers. Japan well as the PPE 6 L which country has an absolute advantage in produ f) Given all the information above, which country has a comparative advantage in producing cars? Which country has a comparative advantage in producing grain? Why? g) Both countries will spend half of each country's workers produce cars and half produce grain. Complete the following table with the quantities of cars produced and consumed in each country if there is no trade. Car Produced and Consumed (million) Tons of Grain Produced and Consumed (million) Germany Japan h) If each country only produces the good in which they have a comparative advantage and then traded 300 million tons of grain for 200 million cars, will both countries be better off? Why?
56 56 48 48 PPF 40 40 32 32 24 PPF 24 16 16 -- -- -- - 8 16 24 32 40 48 56 64 16 24 32 40 48 56 84 GRAIN (Millions of pounds) GRAIN (Millions of pounds) Maldonia has a comparative advantage in the production of while Lamponia has a comparative advantage in the production of Suppose that Maldonia and Lamponia specialize in the production of the goods in which each has a comparative advantage. After specialization, the two countries can produce a total of million pounds of sugar and million pounds of grain. Suppose that Maldonia ánd Lamponia agree to trade. Each country focuses its resources on producing only the good in which it has a comparative advantage. The countries decide to exchange 24 million pounds of grain for 24 million pounds of sugar. This ratio of goods is known as the price of trade between Maldonia and Lamponia. W SUGAR (MIlons of pounds) SUGAR (MIlions of pounds)
The following table shows how many tonnes of dairy products and beef products can be produced in Country 1 and Country 2 with one unit of equivalent resources. Country 1 Country 2 Dairy Products (tonnes) 15 15 Beef Products (tonnes) 5 25 ..... a. Which country has an absolute advantage in dairy products? In beef products? Explain. Whoever is able to produce absolute advantage of producing that product. advantage in dairy production. production. with the same amount of resources has the has the absolute has the absolute advantage in beef A *****
from the image, can you help answer whether the trade action for Felicidad: jeans is import 18 or export 18, Felicidad: corn import 54 or export 54, and Contente: jeans import 18 or export 18 and Contente: corn import 54 or export 54.
Suppose that France and Germany both produce wine and cheese. The table below shows combinations of the goods that each country can produce in a day. France Germany Wine (Bottles) Cheese (Pounds) 16 Wine (Bottles) Cheese (Pounds) 12 8. 4. 25 20 15 2 3 3 4 10 4 Who has the comparative advantage in producing wine and who has the comparative advantage in producing cheese? O A. France has a comparative advantage producing wine and Germany has a comparative advantage producing cheese. O B. France has a comparative advantage producing wine and cheese. OC. Germany has a comparative advantage producing wine and cheese. -OD. Neither has a comparative advantage producing wine or cheese. OE. France has a comparative advantage producing cheese and Germany has a comparative advantage producing wine. Suppose that France is currently producing 1 bottle of wine and 12 pounds of cheese and Germany is currently producing 3 bottles of wine and 10 pounds of cheese. Then, assume instead that France and…
COFFEE (Millions of pounds) 48 42 36 30 24 18 12 6 0 PPF 1 Maldonia 36 30 POTATOES (Millions of pounds) 06 12 18 24 42 48 COFFEE (Millions of pounds) 48 42 36 30 24 18 12 6 0 PPF 1 0 6 Lamponia 18 42 12 24 30 36 POTATOES (Millions of pounds) 48 Consider the above two graphs which represent production possibilities. What are the comparative advantages? Maldonia has a comparative advantage in potatoes and Lamponia has a comparative advantage in coffee Maldonia has a comparative advantage in both goods O Lamponia has a comparative advantage in both goods O Maldonia has a comparative advantage in coffee adn Lamponia has a comparative advantage in potatoes
Need help
Refer to Table 19.1. Mexico has Group of answer choices a comparative advantage but not an absolute advantage in orange production. an absolute advantage and a comparative advantage in orange production. a comparative advantage but not an absolute advantage in banana production. an absolute advantage and a comparative advantage in banana production.
Refer to Table 19.1. Guatemala has Group of answer choices a comparative advantage in orange production. an absolute advantage in orange production. a comparative advantage in banana production. an absolute advantage in banana production.
Suppose the United States and Mexico both produce hamburgers and tacos. The combinations of the two goods that each country can produce in one day are presented in the table below. United States Mexico Hamburgers (in tons) Tacos (in tons) Hamburgers (in tons) Tacos (in tons) 162 135 90 108 18 90 180 54 36 45 270 54 Which country has an absolute advantage in producing tacos? The United States Which country has a comparative advantage in producing tacos? Mexico Suppose the United States is currently producing 180 tons of hamburgers and 54 tons of tacos and Mexico is currently producing 36 tons of hamburgers and 45 tons of tacos. If the United States and Mexico each specialize in producing only one good (the good for which each has a comparative advantage), then a total of additional ton(s) of hamburgers can be produced for the two countries combined (enter a numeric response using an integer)
Comparative Advantage: Suppose that the United States and Switzerland produce bicycles and chocolate bars: Bicycles per worker/year Chocolate Bars per worker/year 10,000 20,000 Switzerland 1 United States 5 a. The United States has an absolute advantage in both bicycles and chocolate bars, but which country has a comparative advantage producing bicycles? Chocolate bars? b. Assume there are 10,000 workers. Draw the production possibilities frontier for the United States prior to trade. Assume the two countries agree to exchange 7,000 chocolate bars per bicycle. Illustrate the effect of specialization and trade on the U.S. production possibilities frontier (put bicycles on the x-axis and millions of chocolate bars on the y-axis). c. Assume there are 10,000 workers. Draw the production possibilities frontier for Switzerland prior to trade. Assume the two countries agree to exchange 7,000 chocolate bars per bicycle. Illustrate the effect of specialization and trade on Switzerland's…
5