Final answer:
The United States imports toys from China because China has a comparative advantage in producing those toys due to lower opportunity costs, despite the U.S. having an absolute advantage in productivity.
Step-by-step explanation:
When considering why the United States imports toys from China despite being able to produce them with greater productive efficiency, it is important to understand the concepts of absolute advantage and comparative advantage. Although the U.S. may have the ability to produce certain toys more efficiently, meaning it has an absolute advantage, the decision to import from China is based on comparative advantage. The education level and skills of workers vary between the two countries, leading to different opportunity costs in production.
The U.S. has a comparative advantage in producing high-skilled, technology-intensive goods like computers and aircraft, where its opportunity cost of production is lower compared to China. On the other hand, for goods that utilize more low-skilled labor and less technology, such as toys, China has a comparative advantage. This means China can produce toys at a lower opportunity cost, making it more beneficial for the U.S. to import these items from China while focusing its resources on goods where it holds a comparative advantage.
Therefore, the correct answer to the statement would be 3) the United States has an absolute advantage in producing toys, but China has a comparative advantage in producing toys.