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SIZIF [17.4K]
3 years ago
15

If the USA could produce 1 ton of potatoes or 0.5 tons of wheat per worker per year, while Ireland could produce 3 tons of potat

oes or 2 tons of wheat per worker per year, there can be mutual gains from trade if:
A. The USA specializes in potatoes because of its comparative advantage in producing potatoes.
B. The USA specializes in wheat because of its absolute advantage in producing wheat.
C. The USA specializes in wheat because of its comparative advantage in producing wheat.
D. There can be no mutual gains from trade.
Business
1 answer:
Anuta_ua [19.1K]3 years ago
8 0

Answer:

A. The USA specializes in potatoes because of its comparative advantage in producing potatoes.

Explanation:

US         1 ton of potatoes or 0.5 tons of wheat = 2

Ireland  3 tons of potatoes or 2 tons of wheat = 1,5

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