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Assume That Colombia Gives Up Three Motorcycles for Each Tonne

Question 167

Multiple Choice

Assume that Colombia gives up three motorcycles for each tonne of coffee it produces,while Bolivia gives up seven motorcycles for each tonne of coffee it produces.Colombia has a comparative advantage in _____ production and should specialize in _____.


A) motorcycle;coffee
B) coffee;motorcycles
C) coffee;coffee
D) motorcycle;motorcycles

Correct Answer:

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