Two countries produce coal and iron. Country A can produce a maximum of 500 tons of coal per day or 250 tons of iron. Country B can produce a maximum of 900 tons of coal per day or 300 tons of iron. Which statement best describes this situation?A.Country B has a comparative advantage producing coal.B.Country B has a comparative advantage producing iron.C.Country A has an absolute advantage producing coal.D.Country A has an absolute advantage producing iron.

The theory of comparative advantage demonstrates that even if a country is less efficient than another in producing all goods, it can still benefit from trade by specializing in the production of the good in which it has:  A. The highest absolute advantage  B. The lowest opportunity cost  C. The highest total production  D. The lowest absolute cost

Economic theory suggest which of the following is true regarding comparative advantage and absolute advantage?Question 9Select one:a.when a country has an absolute advantage in producing two goods, it will also have a comparative advantage in producing those goods.b.a country gains economically if it concentrates its efforts in those economic activities where it has the greatest advantage or the least disadvantage, and then trades with other countries for those goods it doesn’t.c.a country with an absolute advantage in producing all goods will be better off by producing all goods in equal quantity.d.comparative advantage has nothing to do with determining what a country should produce.e.comparative and absolute advantage mean the same thing in international trade.

A country has an absolute advantage in the production of a product when it:Select one:a.Has access to the raw materials needed to produce the product.b.Has the capability to produce the product within its boundaries.c.Has the largest domestic demand for the product.d.Is more efficient than any other country in producing it.Clear my choice

When two countries with different opportunity costs engage in trade based on comparative advantage, the result is:  A. Both countries experiencing increased production and consumption  B. Both countries producing only goods they have an absolute advantage in  C. Both countries experiencing decreased production  D. Both countries producing the same goods

Country R and country S are going to trade 1 unit of product X for 21 unit of product Y.With a given amount of resources: country R can produce either 30 units of product X or 50 units of product Y country S can produce either 20 units of product X or 25 units of product Y.Which statement is correct, according to the theory of comparative advantage?A Free trade will benefit both R and S.B Free trade will benefit neither R nor S.C Free trade will benefit R but not S.D Free trade will benefit S but not R