In the United States, one worker can produce 10 tons of steel per day or 20 tons of chemicals per day. In the United Kingdom, one worker can produce 5 tons of steel per day or 15 tons of chemicals per day. The United Kingdom has the absolute advantage in the production of:
A) steel.
B) chemicals.
C) neither steel nor chemicals.
D) both steel and chemicals.

Question

Quizplus · Accepted Answer

The United States has a higher production capacity for both steel (10 tons vs. 5 tons) and chemicals (20 tons vs. 15 tons) per worker per day, meaning the UK does not have an absolute advantage in either.

In the United States, One Worker Can Produce 10 Tons