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:

Pearson Correlation

A measure of the linear correlation between two variables, ranging from -1 to 1, where 1 is total positive linear correlation, 0 is no linear correlation, and -1 is total negative linear correlation.

Critical Values

Thresholds in statistical testing that delineate areas where the test statistic leads to the rejection or acceptance of the null hypothesis.

Variables

Elements, characteristics, or conditions that can change or vary within a study, potentially influencing the outcome.

Negative Number

A number less than zero, indicating a lack or subtraction in mathematics.