Multiple Choice
(Figure: Gadgets and Widgets) The graph shows the production possibilities for two countries, A and B. Which statement is correct? 
A) Country A has the absolute advantage in both products.
B) Country B has the absolute advantage in widgets.
C) Country B has the comparative advantage in gadgets.
D) There are no gains from trade.
Correct Answer:
Verified
Correct Answer:
Verified
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