Hans can do 4 loads of laundry or type 6 pages in an hour. Heidi can do 12 loads of laundry or type 8 pages in an hour. Which of the following is correct?

Question

Quizplus · Accepted Answer

Heidi has an absolute advantage in both tasks because she can do more of each task in an hour than Hans can (12 loads of laundry vs. 4, and 8 pages typing vs. 6). She also has a comparative advantage in doing laundry because she gives up fewer typed pages to do one more load of laundry compared to Hans (8/12 pages per load for Heidi vs. 6/4 pages per load for Hans). Comparative advantage is not about who can do more overall, but who sacrifices less of one good to produce another.

Hans Can Do 4 Loads of Laundry or Type 6