Figure 34-7
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In Figure 34-7, AB represents the production possibilities of Pestoland and CD that of Pastaland. Pestoland has a comparative advantage in pasta because it
A. gets more pasta from a given decline in pesto than Pastaland does.
B. gets more pesto from a given decrease in pasta production.
C. can produce more pasta than Pastaland.
D. can produce more pasta and pesto than Pastaland.
Answer: B
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Indicate whether the statement is true or false