Yosemite's opportunity cost of producing 1 pair of shorts is
of almonds. Therefore,
has a comparative advantage in the production of almonds.
of almonds, and Congaree's opportunity cost of producing 1 pair of shorts
has a comparative advantage in the production of shorts, and
Suppose that each country completely specializes in the production of the good in which it has a comparative advantage, producing only that good. In
this case, the country that produces shorts will produce
million pairs per day, and the country that produces almonds will produce
million pounds per day.
