Table 18-3 -The Data in Table 18-3 Indicate That the United States

Table 18-3
$\begin{array}{r}\text { Output Per Unit Labor Input }\\\begin{array}{lcc}& \underline {\text { Cotton }}& \underline {\text { Wheat}}\\\text { Egypt} \quad\quad\quad& \quad \quad20\quad\quad & \quad\quad24\quad\quad \\\text { United States } & \quad \quad2\quad\quad &\quad\quad 12\quad\quad \\\end{array}\end{array}$

-The data in Table 18-3 indicate that the United States has

A) an absolute advantage in both goods, and a comparative advantage in cotton.
B) an absolute advantage in both goods, and a comparative advantage in wheat.
C) only a comparative advantage in wheat.
D) only a comparative advantage in cotton.

Correct Answer:

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