Multiple Choice
Graph 3-2 
These figures illustrate the production possibilities available to Amy and Jim with 8 hours of labour.
-According to Graph 3-2:
A) Amy has an absolute advantage in both goods, and Jim has an absolute advantage in neither goods
B) Amy has an absolute advantage in neither goods, and Jim has an absolute advantage in both goods
C) Amy has an absolute advantage in coffee, and Jim has an absolute advantage in doughnuts
D) Amy has an absolute advantage in doughnuts, and Jim has an absolute advantage in coffee
Correct Answer:
Verified
Correct Answer:
Verified
Q28: Table 3-3<br> <span class="ql-formula" data-value="\begin{array}{|l|c|c|c|c|}\hline&\text
Q29: Table 3-4<br> <span class="ql-formula" data-value="\begin{array}{|l|c|c|c|c|}\hline&\text
Q30: Graph 3-1<br><img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8859/.jpg" alt="Graph 3-1
Q31: Trade is based on:<br>A)absolute advantage<br>B)comparative advantage<br>C)trade subsidies<br>D)international
Q34: Table 3-3<br> <span class="ql-formula" data-value="\begin{array}{|l|c|c|c|c|}\hline&\text
Q35: What roles were played by Adam Smith
Q36: The central argument for free trade has
Q37: Trade allows a country to pivot outwards
Q38: A constant trade-off in the production of
Q82: Explain the difference between absolute advantage and