Exhibit 28-3 Alternate Outputs from One Day's Labor Input

Exhibit 28-3 Alternate Outputs from One Day's Labor Input:
United States: 12 bushels of wheat or 3 yards of textiles.
Great Britain: 3 bushels of wheat or 12 yards of textiles.
Refer to Exhibit 28-3.From the data above,the United States

A) has an absolute advantage over Great Britain in the production of textiles.
B) has an absolute advantage over Great Britain in the production of wheat.
C) has a comparative advantage in the production of textiles
D) should export textiles to Great Britain.

Correct Answer:

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