Table 3.2 -Consider Two Individuals,Rose and Sharon,who Produce Fish and Coconuts.Rose and Coconuts.Rose

question 84

Multiple Choice

Table 3.2
-Consider two individuals,Rose and Sharon,who produce fish and coconuts.Rose and Sharon's hourly productivity are shown in Table 3.2.Which of the following is true?

• A) Rose has an absolute advantage in producing coconuts but not fish.
• B) Rose has an absolute advantage in producing fish but not coconuts.
• C) Rose has an absolute advantage in producing both goods.
• D) Rose does not have an absolute advantage in producing either good.

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Definitions:

Market Price

Market Price is the current price at which an asset or service can be bought or sold.