It takes Amber 5 minutes to iron a shirt and 20 minutes to wash her car. Gina can wash her car in 15 minutes but it takes her 10 minutes to iron a shirt. There is a mutually beneficial trade if Amber specializes in ironing shirts and Gina specializes in washing cars.

Question

Quizplus · Accepted Answer

Amber has a comparative advantage in ironing shirts since she can do it in less time than it takes Gina, and Gina has a comparative advantage in washing cars since she can do it in less time than it takes Amber. By specializing in their respective tasks, they can both increase their productivity and efficiency, and ultimately benefit from trading with each other.

It Takes Amber 5 Minutes to Iron a Shirt and 20