Table 3.3

-Consider two individuals, Nigel and Mia, who produce hair pins and bandanas. Nigel's and Mia's hourly productivity are shown in Table 3.3. Which of the following is true?
A) Nigel has a comparative advantage in producing hair pins but not bandanas.
B) Nigel has a comparative advantage in producing bandanas but not hair pins.
C) Nigel has a comparative advantage in producing both goods.
D) Nigel does not have a comparative advantage in producing either good.

Question

Table 3.3
 
-Consider two individuals, Nigel and Mia, who produce hair pins and bandanas. Nigel's and Mia's hourly productivity are shown in Table 3.3. Which of the following is true?
A) Nigel has a comparative advantage in producing hair pins but not bandanas. 
B) Nigel has a comparative advantage in producing bandanas but not hair pins. 
C) Nigel has a comparative advantage in producing both goods. 
D) Nigel does not have a comparative advantage in producing either good.

Quizplus · Accepted Answer

The Answer of Table 3.3
 
-Consider two individuals, Nigel and Mia, who produce hair pins and bandanas. Nigel's and Mia's hourly productivity are shown in Table 3.3. Which of the following is true?
A) Nigel has a comparative advantage in producing hair pins but not bandanas. 
B) Nigel has a comparative advantage in producing bandanas but not hair pins. 
C) Nigel has a comparative advantage in producing both goods. 
D) Nigel does not have a comparative advantage in producing either good.

Table 3.3 -Consider Two Individuals, Nigel and Mia, Who Produce Hair Pins