Don Can Produce 10 Pens or 20 Pencils in One

question 172

Multiple Choice

Don can produce 10 pens or 20 pencils in one hour while Bob can produce 15 pens or 5 pencils in one hour. Which of the following statements is correct?

• A) Bob has a comparative advantage over Don in the production of pencils
• B) Bob has a comparative advantage over Don in the production of pens
• C) Don has a comparative advantage over Bob in the production of pens
• D) Bob and Don cannot gain from specialization and exchange.

Grasp the principles of vertical integration and its impact on production levels and pricing.

Understand the concept of shadow pricing in vertically integrated firms.

Analyze the effects of changes in marginal costs on production decisions within an integrated firm structure.

Identify the types of documents paralegals are expected to draft.

---

Definitions:

Biological Sex

The physical characteristics of the body that define male and female organisms, often determined by genetics and reproductive anatomy.

Solid Gender Identity

A strong and clear sense of one's own gender, with confidence in one's gender identity.

Statistically Valid

The degree to which conclusions derived from a statistical analysis are reliable and meaningful, based on the methodology and sample size.

Gender-Role Stereotypes

Social and cultural expectations about the behaviors and attitudes appropriate for each gender.