Exhibit 15-4 Coffee and tea output (pounds per hour)
CountryCoffee
Tea
Brazil10
5
China 8
8
If specialization were carried out by each country in Exhibit 15-4 on the basis of comparative advantage, then:
A. Brazil would produce neither coffee nor tea.
B. China would produce both coffee and tea.
C. Brazil would produce tea and China would produce coffee.
D. Brazil would produce coffee and China would produce tea.
Answer: D
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