-Refer to Table 3-5

question 129

Multiple Choice

-Refer to Table 3-5. Which country has an absolute or comparative advantage in each product?

• A) Japan has an absolute advantage in both goods, and Canada has a comparative advantage in cars.
• B) Japan has an absolute advantage in both goods, and Canada has a comparative advantage in neither good.
• C) Japan has an absolute advantage in cars, and Canada has a comparative advantage in airplanes.
• D) Japan has an absolute advantage in airplanes, and Canada has a comparative advantage in cars.

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