$\text { Table } 55 \text { a }$
$\begin{array}{l}
\text { Units of output produced by } 1 \text { hour of labor input }\
\begin{array}{|l|l|l|}
\hline \text { Commodity } & \text { Canada } & \text { Mexico } \
\hline \text { Bread } & 6 \text { loaves } & 2 \text { loaves } \
\hline \text { Cheese } & 8 \text { punds } & 4 \text { pounds } \
\hline
\end{array}
\end{array}$
-In Table 55a, which country has the comparative advantage in the production of bread?

Question

$\text { Table } 55 \text { a }$
$\begin{array}{l}
\text { Units of output produced by } 1 \text { hour of labor input }\
\begin{array}{|l|l|l|}
\hline \text { Commodity } & \text { Canada } & \text { Mexico } \
\hline \text { Bread } & 6 \text { loaves } & 2 \text { loaves } \
\hline \text { Cheese } & 8 \text { punds } & 4 \text { pounds } \
\hline
\end{array}
\end{array}$ 
-In Table 55a, which country has the comparative advantage in the production of bread?

Quizplus · Accepted Answer

Canada has a lower opportunity cost of producing bread compared to Mexico. With 1 hour of labor input, Canada can produce 6 loaves of bread while Mexico can produce only 2 loaves. This means that in the same amount of time, Canada has to give up fewer units of cheese production to produce one loaf of bread compared to Mexico. Therefore, Canada has a comparative advantage in the production of bread.

Table 55 a \text { Table } 55 \text { a } Table 55 a

$\text { Table } 55 \text { a }$