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Consider if, Argentina and Brazil each have 10,000 hours of labor per month. In Argentina, producing one pound coffee requires 2 hours producing one pound
Consider if, Argentina and Brazil each have 10,000 hours of labor per month. In Argentina, producing one pound coffee requires 2 hours producing one pound of nuts requires 4 hours in Brazil, producing one pound coffee requires 1 hour producing one pound of nuts requires 5 hours find out:
(a) Which country has an absolute advantage in the production of coffee?
(b) Which country has a comparative advantage in the production of nuts?
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