Multiple Choice
Tom and Jerry have two tasks to do all day: set traps and build bombs.If Tom spends all day setting traps,he will have set 16 traps.If he instead devotes his day to building bombs,Tom will build 4 bombs.If Jerry spends his day setting traps,he will set 14 traps;if he spends the day building bombs,he will build 7 bombs.Jerry has a comparative advantage in:
A) trap production because he has the lower opportunity cost of a trap.
B) trap production because he has the higher opportunity cost of a trap.
C) bomb production because he has the lower opportunity cost of a bomb.
D) bomb production because he has the higher opportunity cost of a bomb.
Correct Answer:

Verified
Correct Answer:
Verified
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