Suppose That a Worker in Country a Can Produce Either

question 97

Multiple Choice

Suppose that a worker in Country A can produce either 25 bananas or 5 tomatoes each year. Country A has 200 workers. Suppose a worker in Country B can produce either 18 bananas or 6 tomatoes each year. Country B has 400 workers. The workers in Country A should specialize in producing _____ because it has a(n) _____ at producing that good.

• A) bananas; comparative advantage
• B) tomatoes; comparative advantage
• C) bananas; absolute advantage
• D) tomatoes; absolute advantage

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