Compadv1 - opportunity cost of doing an oil change, only...

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Jack and Jill run a car oil-change and detailing business. Jack can change 2 cars’ oil in an hour, or detail 3 cars. Jill can change 3 cars’ oil in an hour, or detail 2 cars. For maximum output, A. Jack should specialize in detailing, Jill in oil changes; B. Jill should specialize in detailing, Jack in oil changes; C. The reason is that Jack has the lower
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Unformatted text preview: opportunity cost of doing an oil change, only two-thirds of a detail; D. The reason is that Jill has the lower opportunity cost of an oil change, only two-thirds of a detail. E. Jill has comparative advantage in detailing. F. Jack has comparative advantage in detailing. A, D, and F are all correct....
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