Economics 9708 · AS & A Level · Production possibility curves

Production possibility curves — practice question

The diagrams illustrate the production possibility curves for two countries, X and Y, each able to produce food and clothes. Which statement about production in these two countries is correct?

  • AX has absolute advantage in clothes and Y has absolute advantage in food.
  • BX has absolute advantage in clothes and Y has comparative advantage in food.
  • CX has absolute advantage in food and Y has absolute advantage in clothes.
  • DX has absolute advantage in food and Y has comparative advantage in clothes.

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