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For Each Surfboard That Australia Produces, It Gives Up the Opportunity

Question 36

Multiple Choice

For each surfboard that Australia produces, it gives up the opportunity to make 25 boomerangs.New Zealand can produce 1 surfboard for every 15 boomerangs it produces.Which of the following is true about the comparative advantage between the two countries?


A) Australia has the comparative advantage in producing surfboards.
B) Australia has the comparative advantage in producing boomerangs.
C) New Zealand has the comparative advantage in producing surfboards and boomerangs.
D) New Zealand has the comparative advantage in producing boomerangs.

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