Use the question facts to determine what gives a person a comparative advantage.
The opportunity cost of catching a kilogram of salmon is ______ for Jim than for Fred, and the
opportunity cost of picking a kilogram of cherries is ______ for Jim than for Fred.
A. lower; lower
B. higher; lower
C. lower; higher
D. higher; higher
So ______ has a comparative advantage in producing ______.
A. Fred; both salmon and cherries
B. Jim; salmon
C. Fred; salmon
D. Jim; cherries
Question Facts
In an hour, Jim can catch 4 kilograms of salmon or pick
8 kilograms of cherries.
In an hour, Fred can catch 4 kilograms of salmon or pick
20 kilograms of cherries.