Consider a world of just two individuals, Greta and Carlos, who each need both of two goods, apples and wheat, to survive. They differ in how productive they are in growing apples and wheat. Based on this information, read the following statements and select the correct one.
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Question

Consider a world of just two individuals, Greta and Carlos, who each need both of two goods, apples and wheat, to survive. They differ in how productive they are in growing apples and wheat. Based on this information, read the following statements and select the correct one.

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Accepted Answer

Carlos has a comparative disadvantage in producing apples.

Answer

Greta has a comparative advantage in both crops.

Answer

Greta has a comparative advantage in producing wheat.

Answer

Greta has an absolute disadvantage in both crops.

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Consider a world of just two individuals, Greta and Carlos, who each need both o...

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