Absolute advantage occurs when one producer has greater productivity compared to another producing the same product

Socialism is an economic system characterized by:

a. private ownership of resources and market decision-making. b. government ownership of resources and centralized decision-making. c. cooperation, sharing, and little central government. d. a complex structure of rules and traditions that dictates decision-making.

Suppose an American worker can make 20 pairs of shoes or grow 100 apples per day. On the other hand, a Canadian worker can produce 10 pairs of shoes or grow 20 apples per day. Which of the following statements is true? The United States has an absolute advantage:

A. and a comparative advantage in the production of shoes. B. in the production of both goods and a comparative advantage in the production of neither good. C. in the production of both goods and a comparative advantage in the production of both goods. D. and a comparative advantage in the production of apples.