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This question is based on the table below. Suppose countries A and B both produce boats and cars. They can produce the following number of
This question is based on the table below.
Suppose countries A and both produce boats and cars. They can produce the following number of boats and cars in a week if they utilise all their resources:
tableCars,BoatsCountry ACountry B
Which of the following options isare correct?
Country A has a comparative advantage in producing cars.
Country B has a comparative advantage in producing boats.
Country A has an absolute advantage in producing boats.
Country has an absolute advantage in producing cars.
Select one:
a only and are correct
b only and are correct
c only and are correct
d only and are correct
e and are all correct
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