Rebecca can stitch 6 shirts in a day while Eliza can stitch only 5 shirts in a day. Rebecca can stitch 2 trousers in a day while Eliza can stitch 3 trousers in a day. Which of the following is true in this case?
A) Rebecca has a comparative advantage in stitching trousers.
B) Eliza has an absolute advantage in stitching trousers.
C) Rebecca has an absolute advantage in stitching trousers.
D) Eliza has a comparative advantage in stitching shirts.
B
You might also like to view...
A policy where the Federal Reserve focuses only on inflation is called monetarizing inflation
Indicate whether the statement is true or false
Why does the problem of the big tradeoff arise when the government engages in the process of redistributing income using taxes and transfers?
What will be an ideal response?
Which of the following is a legal remedy for a breach of the contract between parties?
a. Liquidated damages b. Imprisonment c. Unitization d. Specificity
A decrease in the federal funds rate is an indication that monetary policy is expansionary.
Answer the following statement true (T) or false (F)