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An economy produces only food and shelter. There are two individuals in the econ

Lauren1

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9 years ago

An economy produces only food and shelter. There are two individuals in the econ

An economy produces only food and shelter. There are two individuals in the economy: Bill and Mary. Mary's opportunity cost of producing 1 unit of shelter is 2 units of food. Bill's opportunity cost of producing 1 unit of shelter is 4 units of food.
A) Bill has a comparative advantage over Mary in the production of shelter.
B) Mary has a comparative advantage over Bill in the production of food.
C) Mary has a comparative advantage over Bill in the production of shelter.
D) Bill has an absolute advantage over Mary in the production of shelter.

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MrDereche

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Lauren1 Author

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9 years ago

Thank you, this really, really helps Heavy Heart

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MrDereche

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9 years ago

You're welcome!

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