Table 3-27
Assume that Huang and Min can switch between producing parasols and producing porcelain plates at a constant rate.
-Refer to Table 3-27. Assume that Huang and Min each has 36 labor hours available. Originally, each person divided his/her time equally between the production of parasols and plates. Now, each person spends all their time producing the good in which they have a comparative advantage. As a result, the total output of plates increased by
A) 0.
B) 1.5.
C) 3.
D) 9.
Correct Answer:
Verified
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