Suppose That, Given the Same Number of Workers, the United

question 9

Multiple Choice

Suppose that, given the same number of workers, the United States can produce five times as many computers or ten times as many airplanes as Mexico. Which of the following statements is true?

• A) The United States has an absolute advantage at producing computers and Mexico has an absolute advantage at producing airplanes.
• B) The United States has an absolute advantage at producing airplanes and Mexico has an absolute advantage at producing computers.
• C) The United States has an absolute advantage at producing both airplanes and computers.
• D) Mexico has an absolute advantage at producing both airplanes and computers.

---

Definitions:

Paired-Choice Majority Votes

A voting method in which voters choose between pairs of candidates or options, with the majority preference deciding the outcome.

Paradox of Voting

The situation where individual rationality does not lead to collective rationality, suggesting that the cost of voting outweighs the apparent benefits.

Median-Voter Model

A theoretical model suggesting that the outcome of majority rule voting systems will reflect the preferences of the median voter.

Law of Diminishing Marginal Utility

The principle that as a person increases consumption of a product, there is a decline in the marginal utility that person derives from consuming each additional unit.