Table 3-8
Assume that Huang and Min can switch between producing parasols and producing porcelain plates at a constant rate.

-Refer to Table 3-8.Huang has an absolute advantage in the production of
A) parasols and a comparative advantage in the production of parasols.
B) parasols and a comparative advantage in the production of plates.
C) neither good and a comparative advantage in the production of parasols.
D) neither good and a comparative advantage in the production of plates.

Question

Table 3-8
Assume that Huang and Min can switch between producing parasols and producing porcelain plates at a constant rate.
 
-Refer to Table 3-8.Huang has an absolute advantage in the production of
A) parasols and a comparative advantage in the production of parasols. 
B) parasols and a comparative advantage in the production of plates. 
C) neither good and a comparative advantage in the production of parasols. 
D) neither good and a comparative advantage in the production of plates.

Quizplus · Accepted Answer

The Answer of Table 3-8
Assume that Huang and Min can switch between producing parasols and producing porcelain plates at a constant rate.
 
-Refer to Table 3-8.Huang has an absolute advantage in the production of
A) parasols and a comparative advantage in the production of parasols. 
B) parasols and a comparative advantage in the production of plates. 
C) neither good and a comparative advantage in the production of parasols. 
D) neither good and a comparative advantage in the production of plates.

Table 3-8 Assume That Huang and Min Can Switch Between Producing Parasols