Solved

Suppose an American Worker Can Make 100 Chairs or Catch

Question 92

Multiple Choice

Suppose an American worker can make 100 chairs or catch 1,000 fish per day.A Chilean worker,on the other hand,can produce 40 chairs or catch 400 fish per day.The United States has an absolute advantage in the production of both fish and chairs.This means that:


A) the United States should produce both goods and not trade with Chile.
B) the United States should produce only fish and trade with Chile to get chairs.
C) the United States should take advantage of Chile by trading with them.
D) the United States can produce more fish and chairs than Chile,given the same amount of workers.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions