Table 3-3MariaCourtneyLabour hours needed to make oneunit:Sweater4020Coat85Amount produced in 40 hours:Sweater12Coat58Refer to Table 3-3. What does each of the two producers have a comparative or absolute advantage in?a Maria has an absolute advantage in coats, and Courtney has a comparative advantage in sweaters.Ob. Maria has an absolute advantage in both goods, and Courtney has a comparative advantage in coats.OC. Maria has an absolute advantage in sweaters, and Courtney has a comparative advantage in sweaters.Od. Maria has an absolute advantage in neither good, and Courtney has a comparative advantage in sweaters.CLEAR MY CHOICE

Opportunity cost is the cost of producing one good in terms of other. Opportunity cost shows the…

Table 3-3 Maria Courtney Oa b. Labour hours needed to make one unit: C. Sweater d. 40 20 Coat 8 5 Amount produced in 40 hours: Sweater 1 2 Refer to Table 3-3. What does each of the two producers have a comparative or absolute advantage in? Coat 5 8 Maria has an absolute advantage in coats, and Courtney has a comparative advantage in sweaters. Maria has an absolute advantage in both goods, and Courtney has a comparative advantage in coats. Maria has an absolute advantage in sweaters, and Courtney has a comparative advantage in sweaters. Maria has an absolute advantage in neither good, and Courtney has a comparative advantage in sweaters. CLEAR MY CHOICE

Table 3-3 Maria Courtney Oa b. Labour hours needed to make one unit: C. Sweater d. 40 20 Coat 8 5 Amount produced in 40 hours: Sweater 1 2 Refer to Table 3-3. What does each of the two producers have a comparative or absolute advantage in? Coat 5 8 Maria has an absolute advantage in coats, and Courtney has a comparative advantage in sweaters. Maria has an absolute advantage in both goods, and Courtney has a comparative advantage in coats. Maria has an absolute advantage in sweaters, and Courtney has a comparative advantage in sweaters. Maria has an absolute advantage in neither good, and Courtney has a comparative advantage in sweaters. CLEAR MY CHOICE

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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