Scenario: Consider Two Economies, Beta and Zeta

question 112

Multiple Choice

Scenario: Consider two economies, Beta and Zeta. Each farmer in Beta can grow 1,000 pounds of apples or 500 pounds of oranges in a year. Each farmer in Zeta can grow 400 pounds of apples or 1,200 pounds of oranges in a year.
-Refer to the scenario above.Which of the following statements is true in this case?

• A) Beta has a comparative advantage in producing apples.
• B) Zeta has an absolute advantage in producing apples.
• C) Beta has a comparative advantage in producing oranges.
• D) Zeta has a comparative advantage in producing apples.

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Definitions:

Ego Depletion

A theory suggesting that self-control or willpower draws upon a limited pool of mental resources that can be temporarily exhausted.

Cognitive Control

The ability to regulate one’s thoughts, behaviors, and emotions to achieve goals.

Glucose

A simple sugar that is an important energy source in living organisms and is a component of many carbohydrates.

Glucose

A simple sugar that is an important source of energy in the body and a key player in metabolism.