Suppose that John can produce 80 widgets per hour and can lift 75 kilograms.Robert,on the other hand,can produce 60 widgets per hour and can lift 50 kilograms.It can be concluded that
A)John has a comparative advantage in lifting weights.
B)Robert has an absolute advantage in lifting weights.
C)Robert has a comparative advantage in the production of widgets.
D)John has an absolute advantage in widget production.

Question

Quizplus · Accepted Answer

John can produce more widgets per hour than Robert, which indicates that John has an absolute advantage in widget production. There is no information to indicate that John or Robert has a comparative advantage in lifting weights. Therefore, option D is the correct answer.

Suppose That John Can Produce 80 Widgets Per Hour and Can