Use the following table to answer the following questions:
$$\begin{array} { | c | c | c | }
\hline { \begin{array} { c }
\text { Labor Requirements for Production in the East and West } \
\text { (labor hours per unit of output) }
\end{array} } \
\hline & \text { Food } & \text { Clothing } \
\hline \text { East } & 10 & 20 \
\hline \text { West } & 5 & 15 \
\hline & & \
\hline
\end{array}$$
-Which of the following statements about the table above is correct?
A) The East has a comparative advantage in the production of both goods.
B) The East has a comparative advantage in the production of Food and the West has a comparative advantage in the production of Clothing.
C) The East has a comparative advantage in the production of Clothing and the West has a comparative advantage in the production of food.
D) The West has a comparative advantage in the production of both goods.

Question

Use the following table to answer the following questions: 
$$\begin{array} { | c | c | c | } 
\hline { \begin{array} { c } 
\text { Labor Requirements for Production in the East and West } \
\text { (labor hours per unit of output) }
\end{array} } \
\hline & \text { Food } & \text { Clothing } \
\hline \text { East } & 10 & 20 \
\hline \text { West } & 5 & 15 \
\hline & & \
\hline
\end{array}$$
-Which of the following statements about the table above is correct?
A) The East has a comparative advantage in the production of both goods.
B) The East has a comparative advantage in the production of Food and the West has a comparative advantage in the production of Clothing.
C) The East has a comparative advantage in the production of Clothing and the West has a comparative advantage in the production of food.
D) The West has a comparative advantage in the production of both goods.

Quizplus · Accepted Answer

The East requires more labor hours for both goods compared to the West, but the opportunity cost of producing clothing is lower in the East, while the opportunity cost of producing food is lower in the West, giving each a comparative advantage in those respective goods.

Use the Following Table to Answer the Following Questions -Which of the Following Statements About the Table Above Is