Question
The table above gives the maximum production of refrigerators and microwaves by China and the United States in one year. Which of the following is correct?
(1 point)
Responses
China has the comparative advantage in microwave production, while the United States has the absolute advantage.
China has the comparative advantage in microwave production, while the United States has the absolute advantage.
The United States has the comparative and absolute advantage in microwave production.
The United States has the comparative and absolute advantage in microwave production.
China has the comparative and absolute advantage in microwave production.
China has the comparative and absolute advantage in microwave production.
The United States has the comparative advantage in microwave production, while China has the absolute advantage.
(1 point)
Responses
China has the comparative advantage in microwave production, while the United States has the absolute advantage.
China has the comparative advantage in microwave production, while the United States has the absolute advantage.
The United States has the comparative and absolute advantage in microwave production.
The United States has the comparative and absolute advantage in microwave production.
China has the comparative and absolute advantage in microwave production.
China has the comparative and absolute advantage in microwave production.
The United States has the comparative advantage in microwave production, while China has the absolute advantage.
Answers
GPT-4o mini
To determine the correct response, we need to understand the concepts of absolute advantage and comparative advantage.
1. **Absolute Advantage**: A country has an absolute advantage in a good if it can produce more of that good with the same resources than another country.
2. **Comparative Advantage**: A country has a comparative advantage in a good if it can produce that good at a lower opportunity cost than another country.
Since I don't have the specific table you're referring to, I can outline how you would analyze it:
- Determine the production capabilities for both refrigerators and microwaves for China and the United States from the table.
- For absolute advantage, compare the total production quantities directly.
- For comparative advantage, calculate the opportunity costs of producing microwaves and refrigerators in both countries.
Once you have analyzed the data properly, you can select from the listed options based on your findings. If you provide the specific production numbers, I can help with the calculations and conclusions!
1. **Absolute Advantage**: A country has an absolute advantage in a good if it can produce more of that good with the same resources than another country.
2. **Comparative Advantage**: A country has a comparative advantage in a good if it can produce that good at a lower opportunity cost than another country.
Since I don't have the specific table you're referring to, I can outline how you would analyze it:
- Determine the production capabilities for both refrigerators and microwaves for China and the United States from the table.
- For absolute advantage, compare the total production quantities directly.
- For comparative advantage, calculate the opportunity costs of producing microwaves and refrigerators in both countries.
Once you have analyzed the data properly, you can select from the listed options based on your findings. If you provide the specific production numbers, I can help with the calculations and conclusions!