6.3 International Trade

Question 1

Jamal and Keisha are considering entering into an agreement to trade tasks.How can specialization of labor benefit Jamal and Keisha? Check all that apply.

Revolt · Accepted Answer

Keisha can specialize in washing cars, because she has the comparative advantage.; Specialization allows them to collectively mow 3 more lawns and wash 3 more cars every three days.; Specialization allows them to earn more money.

Question 2

How can the law of comparative advantage be applied to Country A and Country B?

Revolt · Accepted Answer

Country A should produce petroleum, and Country B should produce seafood.

Question 3

⇒ 8, eight

Revolt · Accepted Answer

8, eight

Question 4

⇒ 32, thirty-two, thirtytwo, thirty two

Revolt · Accepted Answer

32, thirty-two, thirtytwo, thirty two; 16, sixteen

Question 5

⇒ 16, sixteen

Revolt · Accepted Answer

16, sixteen

Question 6

The opportunity costs are shown in parentheses in the table.

Revolt · Accepted Answer

✔ Country A; According to opportunity costs, should specialize in petroleum.: Country A; According to opportunity costs, should specialize in seafood.: Country B

Question 7

Country A✔ Country Bneither country

Revolt · Accepted Answer

✔ Country B

6.3 International Trade Answers

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