Table 7-2
Madison and Austin own Cafe Ole'.Table 7-2 lists the number of empanadas and tacos Madison and Austin can each make in one hour.
-Refer to Table 7-2.Select the statement that accurately interprets the data in the table.
A)Madison has an absolute advantage in making tacos and Austin has an absolute advantage in making empanadas.
B)Madison has an absolute advantage in making empanadas and Austin has an absolute advantage in making tacos.
C)Madison has an absolute advantage in making empanadas and tacos.
D)Austin has an absolute advantage in making empanadas and tacos.

Question

Table 7-2
  Madison and Austin own Cafe Ole'.Table 7-2 lists the number of empanadas and tacos Madison and Austin can each make in one hour.
-Refer to Table 7-2.Select the statement that accurately interprets the data in the table.
A)Madison has an absolute advantage in making tacos and Austin has an absolute advantage in making empanadas. 
B)Madison has an absolute advantage in making empanadas and Austin has an absolute advantage in making tacos. 
C)Madison has an absolute advantage in making empanadas and tacos. 
D)Austin has an absolute advantage in making empanadas and tacos.

Quizplus · Accepted Answer

Absolute advantage refers to the ability of a party to produce a greater quantity of a good, product, or service than competitors, using the same amount of resources. Without seeing Table 7-2, the correct answer cannot be determined from the information given. However, based on the structure of the question, if we assume choice C is correct, it would mean that Madison can produce both tacos and empanadas more efficiently than Austin, indicating Madison has an absolute advantage in making both items.

Table 7-2 Madison and Austin Own Cafe Ole'.Table 7-2 Lists