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Using Graphs to Illustrate the Concepts, Absolute Advantage

Question 187

Multiple Choice

Using graphs to illustrate the concepts, absolute advantage


A) is shown with differences in slope of a production possibilities curve; comparative advantage is shown with a lower curve.
B) requires a very steep curve; comparative advantage requires a curve with a shallow slope.
C) on one good requires that the slope of the production possibilities curve be steeper for that good.
D) is shown with a higher production possibilities curve; comparative advantage is shown with differences in slope of the curves.

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