Question
The amounts of cheese and bread that England and Spain can produce in 40 hours are as shown in the following table Cheese Bread England
The amounts of cheese and bread that England and Spain can produce in 40 hours are as shown in the following table
Cheese
Bread
England
40
20
Spain
20
5
Which country has a comparative or absolute advantage in each product?
Select one:
England has a comparative advantage in both goods, and Spain has an absolute advantage in cheese.
England has a comparative advantage in cheese, and Spain has an absolute advantage in both goods.
England has a comparative advantage in bread, and Spain has an absolute advantage in cheese.
England has a comparative advantage in bread, and Spain has an absolute advantage in neither good.
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