If the U.S. can produce pizza for $5 each and barrels of beer for $25 each, and Germany can produce pizza for $7 each and barrels of beer for $21 each, then

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The U.S. has a comparative advantage in producing pizza due to its lower cost and Germany has a comparative advantage in producing beer due to its lower cost. Therefore, it is more efficient for the U.S. to specialize in producing pizza and trade with Germany for beer. This leads to mutual benefits for both countries through international trade.

If the US Can Produce Pizza for $5 Each and Barrels of Barrels