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Sublight2097 Sublight2097
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Posts: 4132
6 years ago
Bonnie can produce either 10 hats or 20 scarves in a month. Phil can produce either 10 hats or 5 scarves in a month. Therefore:
A) Phil has a comparative advantage in hats, Bonnie in scarves.
B) Bonnie has a comparative advantage in hats, Phil in scarves.
C) Phil has a comparative advantage in both hats and scarves.
D) Bonnie has a comparative advantage in both hats and scarves.
E) Neither of them has a comparative advantage in hats.
Textbook 

The Economic Way of Thinking


Edition: 13th
Authors:
Read 144 times
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Chimelo46Chimelo46
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Posts: 5639
6 years ago
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wrote...
6 years ago
My mind was going in all different directions trying to figure this one out. Thanks so much.
wrote...
6 years ago
It was nothing, thanks for updating us.
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