1
When one region can produce a product with fewer resources, it has a what?
Absolute Advantage
When one region can produce a product with the lowest opportunity cost, it has a what?
Comparative Advantage
A economy that rely on others for most of it's goods and services is an example of what?
Economic Interdependence
Brazil is the leading producer of coffee beans in the world because of fertile soil and weather. Brazil has what?
Absolute Advantage
The development of skills or knowledge in one aspect of a job is called what?
Specialization
The United States allows China do a lot of manufacturing, instead of doing it domestically. China has a what over the United States?
Comparative Advantage
Tariffs have been imposed on imports of steel so encourage domestic production to keep the United States from having what?
Economic Interdependence
When a house is being built and people that specialize in certain skills is an example of what?
Division of Labor
What school did our girls beat in the first round of the State Playoffs? Bonus $100 if you can give the final score.
Weiser
64-36
What is the advantage of division of labor?
Workers become an experts at one task
Clothing manufacturing has moved from the United States to China because China has an absolute advantage in what?
Large and low skilled workforce.
When a house is being built, the person that just deals with HVAC is an example of what?
Specialization
Which country has an absolute advantage in wheat production:
Country 1 - Corn - 10/Wheat - 8
Country2 - Corn - 8/Wheat - 10
Country 2
Which country has an Comparative in wheat production:
Country 1 - Corn - 7/Wheat - 10
Country2 - Corn - 3/Wheat - 5
Country 2
When a country specializes in production, how do they get other items they need?
They trade for the other products
Which country should be producing corn?
Country 1 - Corn - 1.5/Wheat - 1
Country2 - Corn - 6/Wheat - 6
Country 1
(Comparative advantage .5 to 1)