Table 2-11

Table 2-11 shows the number of labor hours required to produce a motorcycle and a guitar in Ireland and Scotland.
-Refer to Table 2-11.Ireland has a comparative advantage in the production of
A)both products.
B)guitars.
C)motorcycles.
D)neither product.

Question

Table 2-11
  
Table 2-11 shows the number of labor hours required to produce a motorcycle and a guitar in Ireland and Scotland.
-Refer to Table 2-11.Ireland has a comparative advantage in the production of
A)both products. 
B)guitars. 
C)motorcycles. 
D)neither product.

Quizplus · Accepted Answer

Ireland has a comparative advantage in the production of guitars if it can produce them at a lower opportunity cost compared to motorcycles, relative to another country.

Table 2-11 Table 2-11 Shows the Number of Labor Hours Required to of Labor