The table above shows the maximum number of palm leaves or coconuts that Robert and Frank can pick respectively in a single day. Which of the following is true? Palm leavesCoconuts82105A. Robert has a comparative advantage in picking coconuts.B. Frank has a comparative advantage in picking palm leaves.C. Robert and Frank can both benefit from trade with each other if 1 coconut is traded for 1 palm leaf.D. Robert and Frank can both benefit from trade with each other if I coconut is traded for 3 palm leaves.E. Robert and Frank can both benefit from trade with each other if 1 coconut is traded for 5 palm leaves. RobertFrankPalm Leaves810Coconuts2531. The table above shows the maximum number ofpalm leaves or coconuts that Robert and Frankcan pick respectively in a single day. Which of thefollowing is true?(A) Robert has a comparative advantage inpicking coconuts.(B) Frank has a comparative advantage in pickingpalm leaves.(C) Robert and Frank can both benefit from tradewith each other if 1 coconut is traded for1 palm leaf.(D) Robert and Frank can both benefit from tradewith each other if 1 coconut is traded for3 palm leaves.(E) Robert and Frank can both benefit from tradewith each other if 1 coconut is traded for5 palm leaves.

The capacity of a nation, person, or company to produce a certain item or service at a lower…

Answered: The table above shows the maximum…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The table above shows the maximum number of palm leaves or coconuts that Robert and Frank can pick respectively in a single day. Which of the following is true?

Palm leaves	Coconuts
8	2
10	5

A. Robert has a comparative advantage in picking coconuts.

B. Frank has a comparative advantage in picking palm leaves.

C. Robert and Frank can both benefit from trade with each other if 1 coconut is traded for 1 palm leaf.

D. Robert and Frank can both benefit from trade with each other if I coconut is traded for 3 palm leaves.

E. Robert and Frank can both benefit from trade with each other if 1 coconut is traded for 5 palm leaves.

Robert
Frank
Palm Leaves
8
10
Coconuts
2
5
31. The table above shows the maximum number of
palm leaves or coconuts that Robert and Frank
can pick respectively in a single day. Which of the
following is true?
(A) Robert has a comparative advantage in
picking coconuts.
(B) Frank has a comparative advantage in picking
palm leaves.
(C) Robert and Frank can both benefit from trade
with each other if 1 coconut is traded for
1 palm leaf.
(D) Robert and Frank can both benefit from trade
with each other if 1 coconut is traded for
3 palm leaves.
(E) Robert and Frank can both benefit from trade
with each other if 1 coconut is traded for
5 palm leaves.

Definition Video Definition Ability of a country to produce goods and services at a lower opportunity cost compared to other countries. Here, opportunity cost refers to the forgone units of one good in order to produce one more unit of another good. For example, the opportunity cost of producing good X in country A is 2Y and in country B is 1.25Y. Country B has a lower opportunity cost of producing good X than country A. Therefore, country B has a comparative advantage in the production of good X. Video

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