Multiple Choice
In 1 hour,Robinson Crusoe can either shoot 4 birds or catch 4 fish.A typical native on a nearby island can either shoot 5 birds or catch 10 fish in an hour's time.Which of the following is true according to the doctrine of comparative advantage?
A) Crusoe will be better off if he specializes in either activity and then trades with the natives.
B) The natives have a comparative advantage in both shooting birds and catching fish,so Crusoe cannot make himself better off by trading with the natives.
C) Crusoe should concentrate on shooting birds and then trade with the natives to obtain fish.
D) Crusoe should spend his time catching fish,and he should trade with the natives to obtain birds.
Correct Answer:

Verified
Correct Answer:
Verified
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