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Specialisation and trade

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Question 1

The table below shows the number of labour hours required to produce one unit of Microchips and one unit of Solar Panels in two countries. Other factors of production are assumed to be equal in both countries.

CountryMicrochipsSolar Panels
Aethelgard810
Borealia?15

Country Borealia has a comparative advantage in Solar Panels.

What is the missing number from the table?

A

Any number less than 12

B

Any number greater than 12

C

12

D

Any number greater than 18.75

Markscheme

Specialisation and trade Questions

  1. A Level
  2. /Economics
  3. /Specialisation and trade

35 exam-style questions on OCR A Level Economics Specialisation and trade. Each one has a worked solution and a mark scheme showing where the marks go.

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