Table 3-4

-Refer to the table.Who has a comparative advantage in the production of each good
A)Alberta has a comparative advantage in baskets, and Manitoba has a comparative advantage in birdhouses.
B)Alberta has a comparative advantage in birdhouses, and Manitoba has a comparative advantage in baskets.
C)Alberta has a comparative advantage in neither good, and Manitoba has a comparative advantage in both goods.
D)Alberta has a comparative advantage in both goods, and Manitoba has a comparative advantage in neither good.

Question

Table 3-4
 
-Refer to the table.Who has a comparative advantage in the production of each good
A)Alberta has a comparative advantage in baskets, and Manitoba has a comparative advantage in birdhouses. 
B)Alberta has a comparative advantage in birdhouses, and Manitoba has a comparative advantage in baskets. 
C)Alberta has a comparative advantage in neither good, and Manitoba has a comparative advantage in both goods. 
D)Alberta has a comparative advantage in both goods, and Manitoba has a comparative advantage in neither good.

Quizplus · Accepted Answer

Alberta has a comparative advantage in baskets because it can produce more baskets per hour than Manitoba. Manitoba has a comparative advantage in birdhouses because it can produce more birdhouses per hour than Alberta.

Table 3-4 -Refer to the Table.Who Has a Comparative Advantage in the Comparative