COFFEE (Milions of pounds) 48 42 36 30 24 18 PPF 12 6 0 0 ——— 1 Maldonla 6 12 18 24 30 36 POTATOES (Millions of pounds) 42 48 (?) COFFEE (Millions of pounds) 48 42 24 18 12 6 0 0 PPF 6 Lamponia 1 42 48 12 24 30 36 POTATOES (Millions of pounds) 18 ? 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 Lamponia has a comparative advantage in both goods Maldonia has a comparative advantage in coffee adn Lamponia has a comparative advantage in potatoes

COFFEE (Milions of pounds) 48 42 36 30 24 18 PPF 12 6 0 0 ——— 1 Maldonla 6 12 18 24 30 36 POTATOES (Millions of pounds) 42 48 (?) COFFEE (Millions of pounds) 48 42 24 18 12 6 0 0 PPF 6 Lamponia 1 42 48 12 24 30 36 POTATOES (Millions of pounds) 18 ? 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 Lamponia has a comparative advantage in both goods Maldonia has a comparative advantage in coffee adn Lamponia has a comparative advantage in potatoes

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Q.1
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