Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
Country A
B
Country B
C
Neither country
D
Both countries
Understanding the Answer
Let's break down why this is correct
Answer
Country A has an absolute advantage in producing wheat because it can produce more units than Country B using the same resources. Specifically, Country A can produce 10 units of wheat, while Country B can only produce 6 units. This means that Country A is more efficient in wheat production because it yields more output from the same amount of resources. For example, if both countries use the same amount of land and labor, Country A's ability to produce 10 units shows it has a clear advantage. Therefore, when comparing their production capabilities, Country A is better at making wheat than Country B.
Detailed Explanation
Country A can make more wheat than Country B using the same resources. Other options are incorrect because Some might think Country B is better because it also makes wheat; This choice suggests both countries are equal in wheat production.
Key Concepts
Production possibilities frontier
Topic
Absolute and Comparative Advantage
Difficulty
easy level question
Cognitive Level
understand
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