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    Japan Can Use All of Its Resources to Produce 100
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Japan Can Use All of Its Resources to Produce 100

Question 406

Question 406

Essay

Japan can use all of its resources to produce 100 videos or 400 shoes. China can use all of its resources to produce 25 videos or 200 shoes. Which nation has the comparative advantage in shoes and which nation has the comparative advantage in videos?

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In Japan, the opportunity cost of produc...

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