The Figures Below Depict the Production Possibilities Frontiers (PPFs) for Two

question 86

Multiple Choice

The figures below depict the production possibilities frontiers (PPFs) for two people who can allocate the same amount of time between making pizzas and making stromboli. Refer to these figures to answer the questions that follow.

-Based on the figures,which statement about comparative advantage is true?

• A) Jim has a comparative advantage in the production of stromboli because his opportunity cost is lower.
• B) Jim has a comparative advantage in the production of stromboli because his opportunity cost is higher.
• C) Jim has a comparative advantage in the production of pizzas because his opportunity cost is lower.
• D) Jim has a comparative advantage in the production of pizzas because his opportunity cost is higher.
• E) Jim has a comparative advantage in the production of both pizzas and stromboli.

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Definitions:

Course Materials

Educational resources provided for the purpose of learning and study, including textbooks, online resources, lecture notes, and multimedia contents.

Total Institutions

Places where individuals are cut off from the wider community and have their lives controlled and regulated by the administrative staff.

Authority

The power or right to give orders, make decisions, and enforce obedience, often associated with a position in a hierarchy.

Me

Refers to oneself; used by a speaker to refer to themselves as the object of a verb or preposition.