Use the Following to Answer Questions: Table: Movies and Oil

question 4

Multiple Choice

Use the following to answer questions: Table: Movies and Oil $$\begin{array}{l}\text { Hypothetical maximum production in various U.S. states }\\\begin{array} { l c c } \hline & \text { Movies/Year } & \text { Barrels of Oil/Year (millions) } \\\hline \text { Texas } & 75 & 50 \\\text { California } & 60 & 30 \\\text { New York } & 20 & 5 \\\hline\end{array}\end{array}$$
-(Table: Movies and Oil) According to the table, which state has the comparative advantage in movies?

• A) Texas, because it can produce more movies than anyone else
• B) New York
• C) California
• D) It is impossible to tell from the information in the table.

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Definitions:

Advantages

Advantages refer to the beneficial factors or positive outcomes resulting from a specific action, decision, or situation.

Franchising

Arrangements based on contracts of service and the supply of products between larger and smaller units of one organization.

Personal Guarantee

A legal commitment by an individual to assume responsibility for another's debt or obligations if that party fails to fulfill them.

Significance

The importance, influence, or meaning of something within a specific context or overall.