MrsAbel Has a Comparative Advantage in Producing Cabbage If,in Comparison

question 101

Multiple Choice

Mrs.Abel has a comparative advantage in producing cabbage if,in comparison to Mr.Lace,Mrs.Abel can grow cabbage

• A) with less labor.
• B) with fewer inputs.
• C) at a lower equilibrium.
• D) at a lower opportunity cost.
• E) with less technology.

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Definitions:

Consolidation

The process by which businesses combine to form a new entity or one business absorbs another, often to increase market share and reduce competition.

Fixed Costs

Expenses that do not vary with production level or sales volume, such as rent, salaries, and loan payments.

Variable Costs

Costs that change in proportion to the level of production or business activity, such as materials and labor costs.

Corporate Tax Rate

The tax imposed on the net income of a corporation, varying by country and sometimes by industry or revenue size.