Use the Following Scenario to Answer the Following Questions

question 16

Multiple Choice

Use the following scenario to answer the following questions:
Karl and Jager produce cars and trucks.Karl can produce 10 cars per hour or 5 trucks per hour.Jager can produce 12 cars per hour or 4 trucks per hour.
-Based on the scenario,Karl has

• A) a comparative advantage in producing cars,but not trucks.
• B) a comparative advantage in producing trucks,but not cars.
• C) a comparative advantage in producing both goods.
• D) a comparative advantage in producing neither good.
• E) no absolute advantage.

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Definitions:

Square

A polygon with four equal sides and four right angles; also, the mathematical operation of multiplying a number by itself.

Dimensional-analysis

A method in physics and engineering to check the consistency of equations involving physical quantities by tracking units and dimensions.

Seconds

The basic unit of time in the International System of Units (SI), equal to one sixtieth of a minute.

Hours

A period of time equal to a twenty-fourth part of a day and night and universally understood to be 60 minutes.