Which of the following would occur if Toma and Kana specialize in producing either Books or shoes based on their comparative advantage m 1 (Free Response 2)4 15 16 17ttempt ...ft 0:57:07ion 1etereded out ofagtion4RToma and Kana can produce either books or shoes. If they spent all of their time producing oneof the two goods, Toma can produce up to 20 books or 5 shoes, and Kana can produce up to 14books or 7 shoes.Exam 1 practice questions(Homework 4)F4Which of the following would occur if Toma and Kana specialized in producing either books orshoes based on their comparative advantage?O a. Toma specializes in books. He produces 20 books and 0 shoes.Ob. Toma specializes in shoes. He produces 0 books and 7 shoes.Oc. Toma specializes in books. He produces 16 books and 1 shoes.Od. Toma specializes in books. He produces 20 books and 5 shoes.e. Toma specializes in shoes. He produces 0 books and 5 shoes.%5TF5Jump to...6MacBook AirF6Y&7F7U◆* 008DIIF8-(9Class activity 10 ►DDF9Next pageC)0F10P

To find the comparative advantage we have to find the opportunity good of producing books and shoe's…

Answered: Toma and Kana can produce either books…

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter3: Interdependence And The Gains From Trade

Section: Chapter Questions

Problem 4PA

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Which of the following would occur if Toma and Kana specialize in producing either Books or shoes based on their comparative advantage

m 1 (Free Response 2)
4 15 16 17
ttempt ...
ft 0:57:07
ion 1
et
ered
ed out of
ag
tion
4
R
Toma and Kana can produce either books or shoes. If they spent all of their time producing one
of the two goods, Toma can produce up to 20 books or 5 shoes, and Kana can produce up to 14
books or 7 shoes.
Exam 1 practice questions
(Homework 4)
F4
Which of the following would occur if Toma and Kana specialized in producing either books or
shoes based on their comparative advantage?
O a. Toma specializes in books. He produces 20 books and 0 shoes.
Ob. Toma specializes in shoes. He produces 0 books and 7 shoes.
Oc. Toma specializes in books. He produces 16 books and 1 shoes.
Od. Toma specializes in books. He produces 20 books and 5 shoes.
e. Toma specializes in shoes. He produces 0 books and 5 shoes.
%
5
T
F5
Jump to...
6
MacBook Air
F6
Y
&
7
F7
U
◆
* 00
8
DII
F8
-
(
9
Class activity 10 ►
DD
F9
Next page
C
)
0
F10
P

Definition Video Definition Ability of a country to produce goods and services at a lower opportunity cost compared to other countries. Here, opportunity cost refers to the forgone units of one good in order to produce one more unit of another good. For example, the opportunity cost of producing good X in country A is 2Y and in country B is 1.25Y. Country B has a lower opportunity cost of producing good X than country A. Therefore, country B has a comparative advantage in the production of good X. Video

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