If United States has a comparative advantage over Japan in the production of cars, then. O the opportunity cost of producing cars in United States is lower than in Japan. O the opportunity cost of producing cars in United States is higher than in Japan. O only United States will gain from specialization and trade in cars between United States and Japan. O there are no gains from specialization and trade in cars between United States and Japan.
Q: Questions attempted 2/38 26 of 38 " Germany has a comparative advantage over England in the…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Suppose that France and Germany both produce wine and schnitzel. The table below shows combinations…
A: A market is a place where the buyers and the sellers interacts with each other and the exchange of…
Q: Assume that Japan and Korea çan switch between producing cars and producing aeroplanes at a constant…
A: PART 1 Answer: (A) The opportunity cost of building one airplane is 80/16 = 5 cars for Japan and…
Q: Corn Soya Beans hina 16 4 Mexico 4 20 eferring to the table above, which country has the absolute…
A: China Mexico Corn 16 4 Soya Beans 4 20
Q: Suppose there are two countries and two goods- Country S Country F 10 labor hrs/unit of output…
A: An individual, firm, area, or country has an absolute advantage if it can generate more goods or…
Q: a. Unrestricted international trade benefits every person in a country equally. O b. Trade can…
A: International trade refers to the exchange of goods and services among various trading countries.…
Q: O a each country will export goods at which it has a comparative advantage at producing and import…
A: If all countries follow free trade policy, economist predict that the comparative advantage in the…
Q: N. Draw a new curve, on the same graph, reflecting what the PPC might look like if new production…
A: Answer: (A). The graph of PPF is given below: According to the above graph, the x-axis measures…
Q: Assume that Japan and Korea can switch between producing cars and producing aeroplanes at a constant…
A: The given table -1 is as follows:
Q: If Germany has a comparative advantage over England in the production of heavy tractors, this…
A: Comparative Advantage theory is an international trade theory given by David Ricardo.
Q: There is more international trade in clothing than in fresh bread. This is likely because O A) No…
A: The reason for more international trade in clothing than in fresh bread is because that shipping…
Q: nder what conditions might the mainstream argument about the advantages of specialization based on…
A: The ability of an economy to produce goods at lower opportunity costs as being compared to its…
Q: For each hour worked, a U.S. worker can produce 4 dozen baguettes, or 2 tonnes of aluminum. Canadian…
A: Comparative advantage refers to a situation where one country or person produces the good at a lower…
Q: a comparative advantage in growing tomatoes if om's marginal benefit from tomatoes is greater than…
A: Tom and Debra are the only people in an isolated village who grow tomato and lettuce. Comparative…
Q: O Countries often engage in FDI in industries where the country they invest in has a comparative…
A: A foreign direct investment involves an organization or individual situated in one nation putting…
Q: Assume that Germany has 1200 units of labor available and it can produce two goods: apples and…
A: Comparative advantage refers to the phenomenon where the country can produce the good with the…
Q: d) When trade opened which country exports which good? Suppose the international price is ½ bottle…
A: D)The respective country will export goods in which they have a comparative advantage. Just as…
Q: Argentina can produce 150 pounds of beef or 20 cars; in contrast the United States can produ pounds…
A: Every decision involves an opportunity cost. In order to consume more of one good, the other has to…
Q: Suppose that the world economy consists of Country A and Country B, both of which are of similar…
A: A country is said to have a competitive advantage if it can produce the good at a lower opportunity…
Q: try A having comparative advantage in wheat and country B in térs, according to the…
A: Disclaimer- “Since you have asked multiple question, we will solve the only first question for you…
Q: only good e). 1. Draw a diagram to show an aggregate production possibility frontier without trade…
A: First we have to draw a diagram and explanations. Ans 1.
Q: The table below shows the monetary value of the production of gems and steel respectively In the…
A: Comparative advantage refers to the situation where the capacity of one country to produce the goods…
Q: Suppose two countries, China and India, produce two goods: rice (R) and skinny jeans (S). Assume…
A: Solution : Comparative Advantage: It is an advantage to a producer over another in the production…
Q: Differentiate absolute advantage from comparative advantage. Explain how a country should…
A: a. Absolute advantage Vs Comparative advantage 1. Absolute advantage relates to a country's or…
Q: Determine which country has a comparative advantage in each good . b) If Country A and Country B…
A: Unit labor Requirements Country A Country B Steel 4 4 Oil 2 5
Q: Suppose Armenia has a comparative disadvantage in electronics in trade with Turkey. However, it has…
A: When a country can manufacture a particular good at a lower opportunity cost than other countries,…
Q: The economic basis for trade is O none of these. O speculative attacks. O insourcing. O comparative…
A: The trade between countries depends upon the opportunity cost of producing goods. With international…
Q: constant cost production. Home produces 0.5 ton of corn or 1 ton of wheat with a day of labor.…
A: Given Home country can produce 0.5 ton of corn or 1 ton of wheat with a day of labor. Before…
Q: Suppose that France and Germany both produce wine and schnitzel. Thne table below snows combinations…
A: The exchange of goods and services across borders is known as the international trade. International…
Q: Refer to the accompanying production possibilities tables. Data are in millions of units. Suppose…
A: From the table it has to be found which country has a comparative advantage(CA) in which good, which…
Q: The table below shows the monetary value of the production of gems and steel respectively in the…
A: Comparative advantage refers to when a firm or a nation can generate an item at a relatively lower…
Q: The accompanying tables give production possibilities data for Gamma and Sigma. All data are in…
A: Answer: Correct option: option 4 (40 tons of Tea) Explanation: A producer will have a comparative…
Q: (Table) Based on the table, how would you characterizę absolute advantage for the goods: Canada's…
A: The theory of absolute advantage refers to the ability of a country to produce more goods and…
Q: Assume that England and Spain can switch between producing cheese and producing bread at a constant…
A: A country or a person has a comparative advantage in the good which it produces at a lower…
Q: Suppose that two countries have the following production possibilities: Smartphones Refrigerators…
A: A country has an absolute advantage in production of that good that it can produce in a larger…
Q: France Germany Wine (Bottles) Schnitzel (Pounds) Wine (Bottles) Schnitzel (Pounds) 25 20 15 10 6. 3…
A: From the given table, we can see that using all its resources, in a day, France can either produce 4…
Q: Are the following statemen ts true or false? Explain ineach case.a. ''1Wo countries can achieve…
A: NOTE: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: as firms and workers play to their comparative advantage, trade will also cause the average level of…
A: The measure that depicts the transfer of goods from one entity to another being done in exchange for…
Q: Refer to Table 1. Which country has the comparative advantage in the production of burgers? a.…
A: The comparative advantage for any country is its ability to produce a particular good and service at…
Q: When countries specialize in producing goods for which they have a comparative advantage and then…
A: The ability to create goods and services at a lower opportunity cost, not necessarily at a higher…
Q: Specialization will increase output when it is based on: absolute advantage. O comparative…
A: Absolute advantage refers to a country’s capacity to produce a certain good more efficiently than…
Q: 11. If Portugal has a total of 120 man-hours of resources available for production, while England…
A: Answer: Correct option: (b) Portugal Explanation: The country which has the least opportunity cost…
Q: The US, Mexico, and Canada all produce steel and corn. The table below shows the total production…
A: The joint possibility curve shows the combined possibility curve of all three individuals for the…
Q: comparing the opportunity cost of producing stained glass in the two countries, you can tell that…
A: Comparative advantage refers to the ability to produce goods and services at a lower opportunity…
Q: 6. A) With the following data decide which country has comparative advantage for which good. Show…
A: Comparative advantage is the ability of a country to produce a good at lower opportunity cost as…
Q: 2. 10 Bananas (thousand tons) 88 69 9. 18 7. LL 2. 4. 10 8. 5. Bananas (thousand tons) Submit All O…
A:
Q: Assuming labor is the only resource and England has 60 man-hours (mhrs) and Portugal 180 mhrs of…
A: Comparative advantage is an economy's ability to produce a particular good or service at a lower…
Q: Questions attempted 2/38 26 of 38 cemiany nas a comparative advantage over England in the production…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Suppose Armenia has a comparative advantage in electronics in trade with Turkey. However, it does…
A: Comparative advantage is the ability of the country to produce goods and services at a lesser…
Q: US & JAPAN US JAPAN Cars 24 10 Computers 5 10. What is the US's opportunity cost of making cars?…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Brazil can produce 100 pounds of beef or 10 autos. In contrast the United States can produce 40 pounds of beef or 30 autos. Which country has the absolute advantage in beef? Which country has the absolute advantage in producing autos? What is the opportunity cost of producing one pound of beef In Brazil? What is the opportunity cost of producing one pound of beef in the United States?Canada exports canola oil to Japan. Therefore, Japan must have the comparative advantage in the production of canola oil, and its autarkic price is higher than the free trade price. O Japan must have the comparative advantage in the production of canola oil, and its autarkic price is lower than the free trade price. Canada must have the comparative advantage in the production of canola oil, and its autarkic price is higher than the free trade price. Canada must have the comparative advantage in the production of canola oil, and its autarkic price is lower than the free trade price.Assume, for Vietnam, that the domestic price of textiles without international trade is lower than the world price of textiles. This suggests that, in the production of textiles, O Vietnam has a comparative advantage over other countries and Vietnam will export textiles. O other countries have a comparative advantage over Vietnam and Vietnam will export textiles. O other countries have a comparative advantage over Vietnam and Vietnam will import textiles. O Vietnam has a comparative advantage over other countries and Vietnam will import textiles. MacBook A esc D00 FA F1 F2 F3 FS % 4 Q W E R T tab I A S D F G s lock
- Suppose that in the United States, producing an aircraft takes 10,000 hours of labor and producing a shirttakes 2 hours of labor. In China, producing an aircrafttakes 40,000 hours of labor and producing a shirttakes 4 hours of labor. What will these nations trade?a. China will export aircraft, and the United Stateswill export shirts.b. China will export shirts, and the United States willexport aircraft.c. Both nations will export shirts.d. There are no gains from trade in this situation.Suppose the United States has a comparative advantage over Mexico in producing pork. The principle of comparative advantage asserts that the United States should produce more pork than what it requires and export some of it to Mexico O Mexico has nothing to gain from importing United States pork O the United States should refrain altogether from producing pork and import all of what it requires from Mexico O the United States should produce a moderate quantity of pork and import the remainder of what it requires from Mexico NextIf all countries follow a policy of free trade, economists predict that O a. each country will export goods at which it has a comparative advantage at producing and import goods at which it has a comparative disadvantage at producing Ob each country will export goods at which it has a comparative disadvantage at producing and import goods at which it has a comparative advantage at producing Oc there will be no trade between countries - that is, no international trade taking place Od rich countries will be made poorer by trade with poor countries O e. poor countries will be made even poorer by trade with rich countries
- Which goods will a nation typically import?a. those goods in which the nation has an absolute advantageb. those goods in which the nation has a comparative advantagec. those goods in which other nations have an absolute advantaged. those goods in which other nations have a comparative advantageHello please provide homeowrk help with the following usung the image provided. Thank you.1. What is the opportunity cost of one more unit of Lumber in Country B and who has the comparative advantage in Wheat production? 2. What country has the comparative advantage in Lumber production? 3. What is the acceptable term of trade for which both countries will gain from trade?According to David Ricardo, O A. If countries specialize where they have an absolute advantage and trade, their efficiency and standard of living can improve O B. Countries should strive to develop their absolute advantage to benefit from trade with other countries O C. If countries specialize where they have a comparative advantage and trade, all groups in their economies will benefit equaly OD. If countries specialize where they have a comparative advantage and trade, their efficiency and standard of living can improve
- What happens to the volume of trade and the terms of trade when a large nation imposes a tariff? O a. The volume of trade increases, and the terms of trade improve. b. The volume of trade decreases, and the terms of trade improve. increases, and the terms of trade deteriorate. The volume of trade O d. The volume of trade decreases, and the terms of trade deteriorate.Economists argue for free trade in import markets because importing goods decreases total surplus. no one is made worse off by importing goods. all consumers and producers benefit from importing goods. O the gains to the U.S. producers outweigh the losses to the U.S. consumers the gains to the U.S. consumers outweigh the losses to the U.S. producersArgentina can produce 150 pounds of beef or 20 cars; in contrast the United States can produce 90 pounds of beef or 80 cars. Which country has the absolute advantage in producing beef? O Both countries have an absolute advantage. O United States O Argentina O Neither country has an absolute advantage.