Question

Nolan can mow 10 lawns per day or trim 20 bushes per day. Meanwhile, John can mow 12 lawns in a day or trim 16 bushes per day. Which of the following is true?

a. Nolan has an absolute advantage over John in terms of mowing lawns
b. John has a comparative advantage over Nolan in terms of mowing lawns
c. John's opportunity cost of mowing one lawn is trimming 3/4 of a bush
d. Nolan's opportunity cost of trimming one bush is mowing 2 lawns

Answer 1

Answer is B John has a comparative advantage over Nolan in terms of mowing lawns because John can mow 12 lawns in 1 day while Nolan can mow 10 lawns in 1 day. so it is better for John to mow land and Nolan to trim bushes because Nolan can trim more bushes than John.