If Wage in Country a Is $6/hour and in Country

question 22

Multiple Choice

If wage in country A is $6/hour and in country B is £2/hour,and the exchange rate between a $ and a £ is 1£=2$,then given the information in the table,which of the following is true? $\begin{array}{|l|c|c|}\hline & \text {Country A} &\text { Country B} \\\hline\text { Apple (bushels/hr) }& 8 & 1 \\\hline\text { Orange (bushels/hr) } & 2 & 3 \\\hline\end{array}$

• A)Country A has comparative advantage in apples
• B)Country A has comparative advantage in oranges
• C)Country B has comparative advantage in apples
• D)Country A and B both have comparative advantage in oranges

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Definitions:

Precognition

The purported ability to foresee or have knowledge of future events before they occur.

Clairvoyance

The purported power to gather data about an object, a person, a location, or a physical happening through the use of extrasensory perception, bypassing traditional sensory channels.

Telepathy

The supposed communication of thoughts or ideas by means other than the known senses.

Psychokinesis

The purported skill to shift items solely through mental concentration.