In this example who has the absolute advantage in apples

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Japan has an absolute advantage in both apples and computers compared to Korea. Producing a ton of apples uses 20 labour hours in Japan compared to 25 labour hours in Korea. Producing one computer requires 80 labour hours in Japan and 125 labour hours in Korea. Suppose that Japan and Korea have 40,000 and 30,000 hours of labour available to produce the two goods per month, respectively.

Why does Japan specialise in computer production and Korea specialise in apple production?

In this example who has the absolute advantage in apples

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In this example who has the absolute advantage in apples

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Who has a comparative advantage in the production of apples?

The United States has an absolute advantage and a comparative advantage in the production of apples. Suppose that a worker in Country A can make either 25 bananas or 5 tomatoes each year. Country A has 200 workers.

Who has absolute advantage example?

One real-world example of absolute advantage is in oil production. Nations in the Middle East have an absolute advantage when it comes to producing oil. In oil-rich nations, businesses can use simple, inexpensive techniques to drill for the resource and get it in large quantities.

How do you know who has the absolute advantage?

To calculate absolute advantage, look at the larger of the numbers for each product. One worker in Canada can produce more lumber (40 tons versus 30 tons), so Canada has the absolute advantage in lumber. One worker in Venezuela can produce 60 barrels of oil compared to a worker in Canada who can produce only 20.

Who has the absolute advantage in oranges?

For each acre of land assigned to orange production, Mary harvests 10 oranges per year, while Orson harvests 9 oranges per year. Thus, Mary has the absolute advantage in oranges.