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SCENARIO: United States Versus United Kingdom

Question 106

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SCENARIO: United States Versus United Kingdom
In the United States, one worker can produce 10 tons of steel per day or
20 tons of chemicals per day.In the United Kingdom, one worker can
Produce 5 tons of steel per day or 15 tons of chemicals per day.
Reference: Ref 2­11
(Scenario: United States Versus United Kingdom) The United States has
The absolute advantage in the production of:


A) steel.
B) chemicals.
C) The United States has the absolute advantage in neither steel nor chemicals.
D) The United States has the absolute advantage in both steel and chemicals.

Correct Answer:

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