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Land in California Is Quite Fertile and Capable of Growing

Question 45

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Land in California is quite fertile and capable of growing large amounts of tobacco,while the land in New England is relatively rocky,of poorer quality,and capable of growing only smaller tobacco crops.Nevertheless,New England is a larger producer of tobacco than is California.Use the concepts of cost and comparative advantage to resolve this apparent contradiction.

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If land in California is used to grow to...

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