Based on graphical data above, Multiple choice question. A) the United States has an absolute advantage in the production in beef but not vegetables B) Mexico has an absolute advantage in the production of vegetables but not beef C) the United States has an absolute advantage in the production of vegetables but not beef D) Mexico has an absolute disadvantage in the production of beef but an absolute advantage in the production of vegetables E) the United States has an absolute advantage in the production of both beef and vegetables

Question

06-05-2021
Business

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Based on graphical data above, Multiple choice question. A) the United States has an absolute advantage in the production in beef but not vegetables B) Mexico has an absolute advantage in the production of vegetables but not beef C) the United States has an absolute advantage in the production of vegetables but not beef D) Mexico has an absolute disadvantage in the production of beef but an absolute advantage in the production of vegetables E) the United States has an absolute advantage in the production of both beef and vegetables

Sagot :

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Parrain Parrain · Answer 1 · 2021-05-11T00:04:58-04:00

Answer: E) the United States has an absolute advantage in the production of both beef and vegetables

Explanation:

When a country is said to have an absolute advantage in the production of a good over another country, it means that given the same units for inputs, the former will produce more units of the good than the latter.

While you included no graphic, I did some research and discovered that in 2020, the US had an absolute advantage in both the production of beef and vegetables because they produced more of those goods than Mexico and even though some adjustments might be needed, this fact will most likely still hold true.

Sagot :

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