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-Using the Data in the Above Table and Assuming Constant

Question 264

Multiple Choice

  -Using the data in the above table and assuming constant opportunity costs, it is correct to state that A)  the United States has an absolute advantage in producing cloth. B)  Mexico has a comparative advantage in producing food. C)  the United States has a comparative advantage in producing both food and cloth. D)  Mexico has a comparative advantage in producing both food and cloth.
-Using the data in the above table and assuming constant opportunity costs, it is correct to state that


A) the United States has an absolute advantage in producing cloth.
B) Mexico has a comparative advantage in producing food.
C) the United States has a comparative advantage in producing both food and cloth.
D) Mexico has a comparative advantage in producing both food and cloth.

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