Output per Hour Worked    United States Mexico Computers (unit) 3 1 Shoes (pairs) 6 3 Based on the above table, which country or countries has an absolute advantage and a comparative advantage in shoes?   a) Mexico has a comparative advantage, and the United States has an absolute advantage in shoes.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Output per Hour Worked 

 

United States

Mexico

Computers (unit)

3

1

Shoes (pairs)

6

3

Based on the above table, which country or countries has an absolute advantage and a comparative advantage in shoes?

 

a) Mexico has a comparative advantage, and the United States has an absolute advantage in shoes.

b) Mexico has an absolute and comparative advantage in shoes.

c) The United States has a comparative advantage, and Mexico has an absolute advantage in shoes.

d) The United States has an absolute and comparative advantage in shoes.

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