In an Eight-Hour Day, Andy Can Produce Either 24 Loaves

question 65

Multiple Choice

In an eight-hour day, Andy can produce either 24 loaves of bread or 8 kilograms of butter. In an eight-hour day, Rolfe can produce either 24 loaves of bread or 24 kilograms of butter.
Based on the information above, which statement is true?

• A) Andy has an absolute advantage in producing butter.
• B) Rolfe has an absolute advantage in producing bread.
• C) Andy has an absolute advantage is producing bread.
• D) Andy has a comparative advantage in producing bread.
• E) Rolfe has a comparative advantage in producing bread.

---

Definitions:

Negotiating

The act of discussing in order to reach an agreement on a particular matter, especially terms of employment.

Administering Contracts

The process of implementing, overseeing, and ensuring compliance with the terms and conditions outlined in a contractual agreement.

Adversarialism

A philosophy or approach characterized by conflict and opposition, often seen in competitive situations or disputes.

NLRA

The National Labor Relations Act, a foundational U.S. law enacted in 1935 to protect the rights of employees and employers, to encourage collective bargaining, and to curtail certain private sector labor and management practices.