1. Imagine that, all else equal, it takes U.S. workers a quarter of the time it takes...

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1. Imagine that, all else equal, it takes U.S. workers a quarter of the time it takes Chinese workers to design a new mobile phone model. Also, imagine that it takes U.S. workers half the time it takes Chinese workers to produce a million pieces of the new model. Which of the two countries has absolute advantage, and which has comparative advantage, in designing a new model? In producing it? (LO1)

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Principles Of Macroeconomics

ISBN: 9781264250356

8th Edition

Authors: Robert Frank, Ben Bernanke, Kate Antonovics, Ori Heffetz

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