Reference: Ref 2-9 (Figure: Countries A & B) Refer to the figure. According to the diagram about countries A & B, which of the following statements is correct? I. Country A has a comparative advantage in Good Y. II. Country B has an absolute advantage in both goods. III. Country B has a comparative advantage in Good X.
A) I and II only
B) I and III only
C) II and III only
D) I, II, and III

Question

Reference: Ref 2-9 (Figure: Countries A & B) Refer to the figure. According to the diagram about countries A & B, which of the following statements is correct? I. Country A has a comparative advantage in Good Y. II. Country B has an absolute advantage in both goods. III. Country B has a comparative advantage in Good X.
A) I and II only 
B) I and III only 
C) II and III only 
D) I, II, and III

Quizplus · Accepted Answer

The Answer of  Reference: Ref 2-9 (Figure: Countries A & B) Refer to the figure. According to the diagram about countries A & B, which of the following statements is correct? I. Country A has a comparative advantage in Good Y. II. Country B has an absolute advantage in both goods. III. Country B has a comparative advantage in Good X.
A) I and II only 
B) I and III only 
C) II and III only 
D) I, II, and III

Reference: Ref 2-9 (Figure: Countries a & B) Refer to the Figure