expand icon
book Issues in Economics Today 7th Edition by Robert Guell cover

Issues in Economics Today 7th Edition by Robert Guell

Edition 7ISBN: 978-0078021817
book Issues in Economics Today 7th Edition by Robert Guell cover

Issues in Economics Today 7th Edition by Robert Guell

Edition 7ISBN: 978-0078021817
Exercise 9
Using simple linear production possibilities frontiers in a simple two-good, two-country model, comparative advantage is evident when
A) one country can make more of both goods than the other.
B) the slopes of the two production possibilities frontiers are identical.
C) the slopes of the two production possibilities frontiers are different.
D) one country is incapable of producing one good.
Explanation
Verified
like image
like image

Hence, option (a)is incorrect.
The slope...

close menu
Issues in Economics Today 7th Edition by Robert Guell
cross icon