Suppose it takes Paul 3 hours to bake a cake and 2 hours to mow the lawn, and suppose it takes Tom 2 hours to bake a cake and 1 hour to mow the lawn. Which of the following statements is correct?

A. Paul has the comparative advantage in mowing the lawn.
B. Paul has the absolute advantage in mowing the lawn.
C. Paul has the comparative advantage in baking cakes.
D. Paul has the absolute advantage in baking cakes.


Answer: C

Economics

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