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Use the Following to Answer Questions: Table: Production in the United

Question 91

Multiple Choice

Use the following to answer questions: Table: Production in the United States and Germany  Labor units required to produce:  One Clock  One Sofa  United States 25 Germany 39\begin{array}{l}\text { Labor units required to produce: }\\\begin{array} { l c c } & \text { One Clock } & \text { One Sofa } \\\hline \text { United States } & 2 & 5 \\\text { Germany } & 3 & 9 \\\hline\end{array}\end{array}
-(Table: Production in the United States and Germany) According to the table, which of the following statements is true?


A) The United States has a comparative advantage in clocks.
B) Germany has an absolute advantage in clocks and sofas.
C) The United States has a comparative advantage in sofas.
D) The United States has a comparative advantage in clocks and sofas.

Correct Answer:

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