If Canada is using all its resources to their fullest extent, it can produce either 10 million iPads or 5 million HDTVs. If Mexico is using all its resources to their fullest extent, it can produce either 6 million iPads or 6 million HDTVs. Thus
A) Canada has a comparative advantage in producing iPads.
B) Canada has an absolute advantage in producing both goods, and a comparative advantage in producing HDTVs.
C) Mexico has an absolute advantage in producing both goods.
D) Mexico has a comparative advantage in producing iPads.
Correct Answer:
Verified
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