If Monica Has a Comparative Advantage in Baking and George

question 101

Multiple Choice

If Monica has a comparative advantage in baking and George has a comparative advantage in sewing, then

• A)Monica must have an absolute advantage in baking
• B)Monica must have an absolute advantage in sewing
• C)George must have an absolute advantage in baking
• D)George must have an absolute advantage in sewing
• E)we can conclude nothing about absolute advantage

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Definitions:

Household Incomes

The combined gross income of all members of a household who are 15 years old or older, including wages, salaries, pensions, and other sources.

SES

Social Economic Status; a measure of an individual's or group's economic and sociological standing, often based on income, education, and occupation.

IQ Scores

Numerical measurements derived from standardized tests designed to assess human intelligence.

Significant Correlation

A statistics term indicating a strong association between two variables, suggesting that when one changes, the other is likely to change in a predictable way.