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1. Given the following information: One Labor-Hour of Production: USA Croatia Soy 300 20 Toys 100 20 Demonstrate using the numbers above that a country
1. Given the following information:
One Labor-Hour of Production: | ||
USA | Croatia | |
Soy | 300 | 20 |
Toys | 100 | 20 |
Demonstrate using the numbers above that a country with an absolute productivity advantage for multiple products would find that producing multiple products domestically to be relatively less advantageous than specializing in a single product and trading to obtain other products.
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