If Evan Has an Absolute Advantage in Cleaning and Bookkeeping

question 135

Multiple Choice

If Evan has an absolute advantage in cleaning and bookkeeping when compared to Gloria, then

• A)Evan must also have a comparative advantage in cleaning and bookkeeping
• B)Evan must have a comparative advantage in cleaning
• C)Evan must have a comparative advantage in bookkeeping
• D)Gloria has a comparative advantage in neither activity
• E)we can conclude nothing about comparative advantage

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Definitions:

Reciprocity Norm

A social norm that dictates that we should repay, in kind, what another person has provided us, promoting the exchange of goods, services, and favors.

Cognitive Dissonance

The mental discomfort experienced by an individual who holds two or more contradictory beliefs, ideas, or values.

Fundamental Attribution Error

The tendency to overemphasize personality-based explanations for behaviors observed in others while underemphasizing the role of situational factors.

Defensive Attribution

A psychological process by which individuals tend to ascribe greater blame to the victims of misfortune for their own victimization when they feel threatened by the likelihood of a similar event happening to them.