SCENARIO: ABSOLUTE ADVANTAGE
The United States requires 20 hours of labor to produce a ton of steel
And 30 hours of labor to produce 1,000 board feet of lumber.In Canada,
20 hours of labor are required to produce a ton of steel and 25 hours of
Labor to produce 1,000 board feet of lumber.
Reference: Ref 24
(Scenario: Absolute Advantage) Which country has a comparative
Advantage in the production of steel?
A)the United States
B)Canada
C)Neither the United States nor Canada has a comparative advantage.
D)Both the United States and Canada have a comparative advantage.

Question

SCENARIO: ABSOLUTE ADVANTAGE
The United States requires 20 hours of labor to produce a ton of steel
And 30 hours of labor to produce 1,000 board feet of lumber.In Canada,
20 hours of labor are required to produce a ton of steel and 25 hours of
Labor to produce 1,000 board feet of lumber.
Reference: Ref 2­4
(Scenario: Absolute Advantage) Which country has a comparative
Advantage in the production of steel?
A)the United States
B)Canada
C)Neither the United States nor Canada has a comparative advantage.
D)Both the United States and Canada have a comparative advantage.

Quizplus · Accepted Answer

The Answer of SCENARIO: ABSOLUTE ADVANTAGE
The United States requires 20 hours of labor to produce a ton of steel
And 30 hours of labor to produce 1,000 board feet of lumber.In Canada,
20 hours of labor are required to produce a ton of steel and 25 hours of
Labor to produce 1,000 board feet of lumber.
Reference: Ref 2­4
(Scenario: Absolute Advantage) Which country has a comparative
Advantage in the production of steel?
A)the United States
B)Canada
C)Neither the United States nor Canada has a comparative advantage.
D)Both the United States and Canada have a comparative advantage.

SCENARIO: ABSOLUTE ADVANTAGE The United States Requires 20 Hours of Labor to Produce