Production possibilities data for Gamma and Sigma.All data are in tons.
Gamma production possibilities:
Sigma production possibilities:

-On the basis of the above information:

Question

Production possibilities data for Gamma and Sigma.All data are in tons.
Gamma production possibilities:
  Sigma production possibilities:
 
-On the basis of the above information:

Quizplus · Accepted Answer

- Gamma has a comparative advantage in producing pots, as they can produce 80 pots and only 20 tea.
- Sigma has a comparative advantage in producing tea, as they can produce 100 tea and only 50 pots.
- Therefore, it is best for Gamma to export tea to Sigma and for Sigma to export pots to Gamma, as this will maximize both countries' production and consumption possibilities.

Production Possibilities Data for Gamma and Sigma