Multiple Choice
If Country A can produce an extra plane by giving up two boats, and Country B can produce an extra plane by giving up three boats, then
A) Country A has an absolute advantage in producing planes and a comparative advantage in producing boats.
B) Country A would like to trade with B, but B cannot gain by trading with A.
C) Country A has a comparative advantage over Country B in the production of planes.
D) the two countries have no incentive to trade with one another.
E) Country B has a comparative advantage over Country A in the production of planes.
Correct Answer:

Verified
Correct Answer:
Verified
Q77: For country North,the opportunity cost incurred when
Q85: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" - The figure
Q86: Points on the PPF are all<br>A)inefficient.<br>B)production efficient.<br>C)free
Q87: Consider a production possibility frontier with jeans
Q88: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" The figure
Q89: When a person has a comparative advantage
Q91: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" - The figure
Q93: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" The figure
Q94: Mac can bake more cookies than Monica
Q95: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" - The figure