Business, 10.08.2021 20:30 andresduenas72
In the country of Zana, a unit of labor can produce 4 units of good X or 2 units of good Y; in the country of Bren, a unit of labor can produce 8 units of good X or 4 unit of good Y. Which of the following is true?
a. Bren has absolute advantage in producing both goods X and Y.
b. Bren has comparative advantage in producing good Y.
c. Zana has comparative advantage in producing good Y.
d. Bren should export good X to Zana.
e. Bren and Zana cannot benefit from trading with each other.
Answers: 2
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In the country of Zana, a unit of labor can produce 4 units of good X or 2 units of good Y; in the c...
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