Moe divides his time between studying Physics and studying Economics. His production possibilities curve for his final grade in each class is shown in the accompanying figure.
Which of the following is true?
A. Moe has a comparative advantage in economics.
B. Moe has an absolute advantage in economics.
C. Moe's opportunity cost of studying for each subject is increasing.
D. Moe has a comparative advantage in physics.
Answer: C
Economics
You might also like to view...
List and define the three types of unemployment
What will be an ideal response?
Economics
Assume that in the market for plasma TVs there is an increase in supply. The result will be:
A) an increase in equilibrium price and quantity. B) a decrease in equilibrium price and quantity. C) an increase in equilibrium quantity and uncertain effect on equilibrium price. D) a decrease in equilibrium price and increase in equilibrium quantity.
Economics