Solved

Use the Following Table to Answer the Following Questions -Which of the Following Statements About the Table Above Is

Question 24

Multiple Choice

Use the following table to answer the following questions:
 Labor Requirements for Production in the East and West  (labor hours per unit of output)   Food  Clothing  East 1020 West 515\begin{array} { | c | c | c | } \hline { \begin{array} { c } \text { Labor Requirements for Production in the East and West } \\\text { (labor hours per unit of output) }\end{array} } \\\hline & \text { Food } & \text { Clothing } \\\hline \text { East } & 10 & 20 \\\hline \text { West } & 5 & 15 \\\hline & & \\\hline\end{array}
-Which of the following statements about the table above is correct?


A) The East has an absolute advantage in the production of both goods.
B) The East has an absolute advantage in the production of Food while the West has an absolute advantage in the production of Clothing.
C) The East has an absolute advantage in the production of Clothing while the West has an absolute advantage in the production of Food.
D) The West has an absolute advantage in the production of both goods.

Correct Answer:

verifed

Verified

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

Related Questions