Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers.
-Refer to Table 2.3.1.Which one of the following is true?
A)Romulus has a comparative advantage in the production of X.
B)Romulus has both an absolute advantage and a comparative advantage in the production of X.
C)Vulcan should specialize in the production of X.
D)Vulcan has a comparative advantage in the production of X.
E)Romulus has both an absolute advantage and a comparative advantage in the production of Y.

Question

Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers. 
-Refer to Table 2.3.1.Which one of the following is true?
A)Romulus has a comparative advantage in the production of X. 
B)Romulus has both an absolute advantage and a comparative advantage in the production of X. 
C)Vulcan should specialize in the production of X. 
D)Vulcan has a comparative advantage in the production of X. 
E)Romulus has both an absolute advantage and a comparative advantage in the production of Y.

Quizplus · Accepted Answer

The Answer of Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers. 
-Refer to Table 2.3.1.Which one of the following is true?
A)Romulus has a comparative advantage in the production of X. 
B)Romulus has both an absolute advantage and a comparative advantage in the production of X. 
C)Vulcan should specialize in the production of X. 
D)Vulcan has a comparative advantage in the production of X. 
E)Romulus has both an absolute advantage and a comparative advantage in the production of Y.

Use the Figure Below to Answer the Following Questions