If Iowa’s opportunity cost of corn is lower than Oklahoma’s opportunity cost of corn, then a. Iowa has a comparative advantage i
n the production of corn. b. Iowa has an absolute advantage in the production of corn. c. Iowa should import corn from Oklahoma. d. Oklahoma should produce just enough corn to satisfy its own residents’ demands.
Answer: Iowa has a comparative advantage in the production of corn
Explanation: Comparative advantage is defined as the ability to produce a particular good at a lower relative oppurtunity cost than another producer.
An example can be gotten from oil-producing nations. They have a comparative advantage in chemicals. Their locally-produced oil provides a cheap source of material for the chemicals when compared to countries without it.
This power comes from the twelfth amendment and it explains that the House must choose between the three candidates with the highest numbers of Electoral Votes. Each state has one vote.
