Suppose Chile has a lower opportunity cost in producing salmon than South Korea,and South Korea has a lower opportunity cost in producing cars than Chile,then Chile has:
A) An absolute advantage in producing both salmon and cars.
B) A comparative advantage in producing both salmon and cars.
C) A comparative advantage in producing cars,while South Korea has a comparative advantage in producing salmon.
D) A comparative advantage in producing salmon,while South Korea has a comparative advantage in producing cars.
Correct Answer:
Verified
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