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Canada Can Produce 30 Tablets for Every Car It Produces

Question 152

Multiple Choice

Canada can produce 30 tablets for every car it produces, and Malaysia can produce 15 tablets for every car it produces. Based on this information, which statement is INCORRECT?


A) Canada should specialize in tablet production.
B) Malaysia has the comparative advantage in car production.
C) There will be gains from trade if Canada exports tablets to Malaysia.
D) Malaysia has a comparative advantage in tablet production.

Correct Answer:

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