Table 3.3 -Consider Two Individuals, Nigel and Mia, Who Produce Hair Pins

question 40

Multiple Choice

Table 3.3

-Consider two individuals, Nigel and Mia, who produce hair pins and bandanas. Nigel's and Mia's hourly productivity are shown in Table 3.3. Which of the following is true?

• A) Nigel has a comparative advantage in producing hair pins but not bandanas.
• B) Nigel has a comparative advantage in producing bandanas but not hair pins.
• C) Nigel has a comparative advantage in producing both goods.
• D) Nigel does not have a comparative advantage in producing either good.

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Definitions:

Fatalistic Belief

The belief that all events are predetermined and therefore inevitable, often leading to a resignation to one's fate.

Culture of Poverty

A fatalistic belief system held by the poor as an adaptation to systemic discrimination.

Perspective

An attitude towards or a way of regarding something; a point of view influenced by one's beliefs, experiences, or culture.

Poor People

Individuals or groups who lack the financial resources to meet basic-life needs like food, shelter, and clothing.