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The role of markets

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Question 3

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?

Any number less than 12

Any number greater than 12

12

Any number greater than 18.75

The role of markets Questions

  1. A Level
  2. /Economics
  3. /The role of markets