Refer to the table shown. From this table we can conclude that:Cost (in euros) of producing wine and an electric generator FranceGermanyWine1020Electric Generator10,00030,000
A. Germany has a comparative advantage in wine and France has a comparative advantage in electric generators.
B. France has a comparative advantage in wine and Germany has a comparative advantage in electric generators.
C. France has a comparative advantage in both goods.
D. Germany has a comparative advantage in both goods.
Answer: A
You might also like to view...
Britain taxed windows from 1696 until 1851 . Under the 1747-57 tax rates, you would pay no tax if your home had 0 – 9 windows but if your home had 10 – 14 windows you would pay a tax of 6 pence per window for every window in your home
a. In what way is the window tax similar to the U.S. income tax? b. In what way is the window tax different from the U.S. income tax? c. Do you think from 1747–1757 the number of new homes with 9 or fewer windows increased from the pre-1747 days? Explain.
When the U.S. government runs a deficit, it usually does the following:
a. It buys government bonds from the public b. It asks the Treasury Department to print money to pay for the deficit c. It sells new government bonds to the public d. It borrows money directly from the Federal Reserve e. It asks the Federal Reserve to print money to pay for the deficit
Arrow's impossibility theorem illustrates the difficulties in creating the perfect voting system
a. True b. False Indicate whether the statement is true or false
Refer to Figure 19.2. Diminishing marginal utility begins after
A. The third apple. B. The fourth apple. C. The first apple. D. The fifth apple.