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 a comparative advantage in doughnuts, and Jim has a comparative advantage in coffee
B) Amy has a comparative advantage in both goods, and Jim has a comparative advantage in neither goods
C) Amy has a comparative advantage in coffee, and Jim has a comparative advantage in doughnuts
D) Amy has a comparative advantage in neither goods, and Jim has a comparative advantage in both goods
Correct Answer:
Verified
Correct Answer:
Verified
Q15: Adam Smith discusses that countries should be
Q16: Graph 3-1<br><img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8859/.jpg" alt="Graph 3-1
Q17: It takes Barbara four hours to make
Q18: Table 3-3<br> <span class="ql-formula" data-value="\begin{array}{|l|c|c|c|c|}\hline&\text
Q19: Mark is a computer company executive, and
Q21: The principle of comparative advantage was developed
Q22: Table 3-2<br> <span class="ql-formula" data-value="\begin{array}{|c|c|c|c|c|}\hline&\text
Q23: Graph 3-1<br><img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8859/.jpg" alt="Graph 3-1
Q24: Graph 3-2 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8859/.jpg" alt="Graph 3-2
Q25: If two countries have identical opportunity costs,