Question :
11.Ifhedevotesallofhisavailableresourcestocantaloupeproduction,afarmercanproduce120cantaloupes.Ifhesacrifices1.5watermelonsforeachcantaloupethatheproduces,itfollowsthat
a.ifhedevotesallofhisavailablereso : 1262248
11.Ifhedevotesallofhisavailableresourcestocantaloupeproduction,afarmercanproduce120cantaloupes.Ifhesacrifices1.5watermelonsforeachcantaloupethatheproduces,itfollowsthat
a.ifhedevotesallofhisavailableresourcestowatermelonproduction,thenhecanproduce80watermelons.
b.hecannothaveacomparativeadvantageoverotherfarmersinproducingcantaloupes.
c.hisopportunitycostofonewatermelonis2/3ofacantaloupe.
d.hisproductionpossibilitiesfrontierisbowed-out.
12.Absoluteadvantageisfoundbycomparingdifferentproducers’
a.opportunitycosts.
b.paymentstoland,labor,andcapital.
c.inputrequirementsperunitofoutput.
d.locationalandlogisticalcircumstances.
13.Theproducerthatrequiresasmallerquantityofinputstoproduceacertainamountofagood,relativetothequantitiesofinputsrequiredbyotherproducerstoproducethesameamountofthatgood,
a.hasalowopportunitycostofproducingthatgood,relativetotheopportunitycostsofotherproducers.
b.hasacomparativeadvantageintheproductionofthatgood.
c.hasanabsoluteadvantageintheproductionofthatgood.
d.shouldbetheonlyproducerofthatgood.
14.IfShawncanproducemoredonutsinonedaythanSuecanproduceinoneday,then
a.Shawnhasacomparativeadvantageintheproductionofdonuts.
b.Suehasacomparativeadvantageintheproductionofdonuts.
c.Shawnhasanabsoluteadvantageintheproductionofdonuts.
d.Suehasanabsoluteadvantageintheproductionofdonuts.
15.KenandTraciaretwowoodworkerswhobothmaketablesandchairs.Inonemonth,Kencanmake3tablesor18chairs,whereasTracicanmake8tablesor24chairs.Giventhis,weknowthat
a.Kenhasanabsoluteadvantageinchairs.
b.Kenhasacomparativeadvantageintables.
c.Tracihasanabsoluteadvantageinchairs.
d.Tracihasacomparativeadvantageinchairs.
16.Traviscanmowalawnintwohoursorhecantrimatreeinonehour.Ricardocanmowalawninthreehoursorhecantrimatreeintwohours.
a.TravishasanabsoluteadvantageoverRicardointrimmingtrees.
b.TravishasacomparativeadvantageoverRicardoinmowinglawns.
c.RicardohasacomparativeadvantageoverTravisintrimmingtrees.
d.Alloftheabovearecorrect.
17.SupposeSusancanwashthreewindowsperhourorshecanironsixshirtsperhour.Paulcanwashtwowindowsperhourorhecanironfiveshirtsperhour.
a.SusanhasanabsoluteadvantageoverPaulinwashingwindows.
b.SusanhasacomparativeadvantageoverPaulinwashingwindows.
c.PaulhasacomparativeadvantageoverSusaninironingshirts.
d.Alloftheabovearecorrect.
18.SupposeJimandTomcanbothproducetwogoods:baseballbatsandhockeysticks.Which ofthe following isnotpossible?
a.Jimhasanabsoluteadvantageintheproductionofbaseballbatsandintheproductionofhockeysticks.
b.Jimhasanabsoluteadvantageintheproductionofbaseballbatsandacomparativeadvantageintheproductionofhockeysticks.
c.Jimhasanabsoluteadvantageintheproductionofhockeysticksandacomparativeadvantageintheproductionofbaseballbats.
d.Jimhasacomparativeadvantageintheproductionofbaseballbatsandintheproductionofhockeysticks.
19.KellyandDavidarebothcapableofrepairingcarsandcookingmeals.Whichofthefollowingscenariosisnotpossible?
a.KellyhasacomparativeadvantageinrepairingcarsandDavidhasacomparativeadvantageincookingmeals.
b.KellyhasanabsoluteadvantageinrepairingcarsandDavidhasanabsoluteadvantageincookingmeals.
c.Kellyhasacomparativeadvantageinrepairingcarsandincookingmeals.
d.Davidhasanabsoluteadvantageinrepairingcarsandincookingmeals.
20.SupposeJimandTomcanbothproducebaseballbats.IfJim’sopportunitycostofproducingbaseballbatsislowerthanTom’sopportunitycostofproducingbaseballbats,then
a.Tommusthaveanabsoluteadvantageintheproductionofbaseballbats.
b.Jimmusthaveanabsoluteadvantageintheproductionofbaseballbats.
c.Tomhasacomparativeadvantageintheproductionofbaseballbats.
d.Jimhasacomparativeadvantageintheproductionofbaseballbats.