Absolute Advantage

Who has the ABSOLUTE advantage in making earrings?

• Marie

• Isabella

The producer that can produce the most output OR requires the least amount of inputs (resources)

• Comparative Advantage

• Trade Offs

• Absolute Advantage

• Opportunity Cost

From the last question, who has the absolute advantage in tools?

• Peru

• U.S.

• neither

• not enough info

If Country A can produce 100 cars with 10 workers and Country B can produce 80 cars with the same number of workers, which country has an absolute advantage?

• Country B

• Country A

• Both countries

• Neither country

Using the same information from the last question, who has the absolute advantage in the production of cars?

• U.S.

• Peru

• neither

• not enough info

The U.S. can produce 10 ipads or 20 phones. China can produce 20 ipads or 30 phones. Who should produce what?

• U.S.-ipads

  China- phones

• U.S. phones

  China- ipads

• both should produce ipads

• they should not specialize

Who has an absolute advantage in processed copra?

• Linavulu

• Bradyburg

Who has the absolute advantage in handicrafts

• Bradyburg

• Linavulu

Answer explanation

Who has the ABSOLUTE advantage in making bracelets?

• Marie

• Isabella

The US can produce 1 ton of sugar using 4 acres of land, or they can produce 1 ton of avocados using 6 acres. 
Ecuador can produce 1 ton of sugar using 5 acres of land or 1 ton of avocados using 4 acres. 
Which country should produce avocados? 

• Ecuador

• US

• not enough information