Tom is a castaway who washes up on a remote island. He can kill eight birds per hour or catch ten fish per day. The natives on the island can kill ten birds per day or catch twenty fish per day. According to comparative advantage,
A)Tom should kill more birds and fish less, then trade birds for fish.
B)Tom should kill fewer birds and fish more, then trade fish for birds.
C)Both, Tom should kill more birds and fish less.
D)Both, Tom should kill fewer birds and fish more.

Question

Tom is a castaway who washes up on a remote island. He can kill eight birds per hour or catch ten fish per day. The natives on the island can kill ten birds per day or catch twenty fish per day. According to comparative advantage,
A)​Tom should kill more birds and fish less, then trade birds for fish.
B)​Tom should kill fewer birds and fish more, then trade fish for birds.
C)​Both, Tom should kill more birds and fish less.
D)​Both, Tom should kill fewer birds and fish more.

Quizplus · Accepted Answer

Tom has a comparative advantage in killing birds because he can kill 8 birds per hour, which could potentially lead to more than 8x10=80 birds if he worked 10 hours a day, compared to the natives' 10 birds per day. The natives have a comparative advantage in catching fish because they can catch 20 fish per day compared to Tom's 10 fish per day. Therefore, Tom should focus on killing birds and trade them for fish with the natives.

Tom Is a Castaway Who Washes Up on a Remote