Table 9-12
Output per hour Production and Production
of work Consumption without Trade with Trade
Estonia and Morocco can produce both swords and belts. Each country has a total of 40 available labor hours for the production of swords and belts. Table 9-12 shows the output per hour of work, the production and consumption quantities without trade, and the production numbers with trade.
-Refer to Table 9-12. Which country has an absolute advantage in producing swords?
A) Estonia
B) Morocco
C) both countries
D) neither country

Question

Table 9-12
Output per hour Production and Production
of work Consumption without Trade with Trade
  Estonia and Morocco can produce both swords and belts. Each country has a total of 40 available labor hours for the production of swords and belts. Table 9-12 shows the output per hour of work, the production and consumption quantities without trade, and the production numbers with trade.
-Refer to Table 9-12. Which country has an absolute advantage in producing swords?
A) Estonia 
B) Morocco 
C) both countries 
D) neither country

Quizplus · Accepted Answer

Estonia has an absolute advantage in producing swords if it can produce more swords than Morocco with the same resources.

Table 9-12 Output Per Hour Production and Production