question archive Comparative Advantage In Japan, one worker can make 4 tons of rubber or 60 radios
Comparative Advantage In Japan, one worker can make 4 tons of rubber or 60 radios
Subject:EconomicsPrice:2.86 Bought8
Comparative Advantage
In Japan, one worker can make 4 tons of rubber or 60 radios. In Malaysia, one worker can make 8 tons of rubber or 30 radios.
a. Who has the absolute advantage in the production of rubber or radios? How can you tell?
b. Calculate the opportunity cost of producing 60 additional radios in japan and in Malaysia. (Your calculation may involve fractions, which is fine.) Which country has a comparative advantage in the production of radios?
c. Calculate the opportunity cost of producing 8 additional tons of rubber in Japan and in Malaysia. Which country has a comparative advantage in producing rubber?
d. In this example, does each country have an absolute advantage and a comparative advantage in the same good?
e. In what product should Japan specialize? In what product should Malaysia specialize?
Option 1
Low Cost Option
Download this past answer in few clicks
2.86 USD
PURCHASE SOLUTION
Option 2
Custom new solution created by our subject matter experts
GET A QUOTE
rated 5 stars
Purchased 8 times
