Given freedom of movement for both goods and resources, if Florida producers specialize in oranges and Georgia producers specialize in peaches, then it would be reasonable to conclude that
A) the opportunity cost of growing oranges is higher in Florida than in Georgia.
B) Georgia has a comparative advantage in producing peaches.
C) Florida has a comparative advantage in producing peaches.
D) total output will be expanded when Georgia allocates more resources to producing oranges and Florida allocates more resources to producing peaches.

Question

Quizplus · Accepted Answer

Georgia has a comparative advantage in producing peaches because they specialize in it, indicating they can produce peaches at a lower opportunity cost compared to Florida.

Given Freedom of Movement for Both Goods and Resources, If