Figure 3-2

-Refer to Figure 3-2.Jerry has an absolute advantage in
A)both goods and Ben has a comparative advantage in ice cream.
B)neither good and Ben has a comparative advantage in cones.
C)ice cream and Ben has a comparative advantage in ice cream.
D)ice cream and Ben has a comparative advantage in cones.

Question

Figure 3-2
 
-Refer to Figure 3-2.Jerry has an absolute advantage in
A)both goods and Ben has a comparative advantage in ice cream. 
B)neither good and Ben has a comparative advantage in cones. 
C)ice cream and Ben has a comparative advantage in ice cream. 
D)ice cream and Ben has a comparative advantage in cones.

Quizplus · Accepted Answer

Jerry has an absolute advantage in ice cream, meaning he can produce more ice cream than Ben with the same resources. Ben has a comparative advantage in cones, meaning he can produce cones at a lower opportunity cost than Jerry.

Figure 3-2 -Refer to Figure 3-2.Jerry Has an Absolute Advantage in