Question
Because of its climate,Brazilhas the comparative advantage in coffeeproduction, while the United States has the comparative advantage in wheat production. This would makewhich of the
Because of its climate,Brazilhas the comparative advantage in coffeeproduction, while the United States has the comparative advantage in wheat production. This would makewhich of the following statements about comparative advantage FALSE?
If workers in Brazil produce wheat, they will have to give up a significant amount of coffee production.
Brazil gives up more wheat than the United States when it produces coffee.
Both countries should trade based on comparative advantage.
The United States can obtain coffee at a lower opportunity cost than if it produced it itself.
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