Other Productivity - AP Macroeconomics

Card 1 of 22

0
Didn't Know
Knew It
0
1 of 2019 left
Question

Country A can produce 10 cars or 5 computers. Country B can produce 6 cars or 4 computers.

Which country has the absolute advantage in producing computers?

Tap to reveal answer

Answer

Absolute advantage is determined by which country can produce more, regardless of efficiency. Country A can produce more computers than Country B, so it has the absolute advantage in producing computers.

← Didn't Know|Knew It →