Refer to the Information Provided in Figure 19

Multiple Choice

Refer to the information provided in Figure 19.1 below to answer the questions that follow.
Figure 19.1
-Refer to Figure 19.1.Which of the following statements is TRUE?

A) Only Canada can benefit from trade because the United States has an absolute advantage in the production of both soybeans and alfalfa.
B) Trade will benefit both countries because the United States has a comparative advantage in the production of soybeans and Canada has a comparative advantage in the production of alfalfa.
C) Trade will benefit both countries because the United States has a comparative advantage in the production of alfalfa and Canada has a comparative advantage in the production of soybeans.
D) Trade will benefit neither country because the United States has an absolute advantage in the production of both soybeans and alfalfa,but Canada has a comparative advantage in the production of both soybeans and alfalfa.