Use the Following to Answer Questions

Multiple Choice

Use the following to answer questions:
Figure: Comparative Advantage
-(Figure: Comparative Advantage) The figure illustrates both the U.S. and Japanese production possibilities frontiers for TVs and wheat. Based on this information, which of the following is TRUE?

A) The United States has the comparative advantage in the production of TVs.
B) The United States has the comparative advantage in the production of wheat.
C) Japan has the comparative advantage in the production of wheat.
D) Japan has the absolute advantage in the production of TVs.