2 a norway has a comparative advantage producing oil

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2 A. Norway has a comparative advantage producing oil because its opportunity cost of producing oil is lower. B. has a comparative advantage producing oil because it can produce more oil. Norway C. The United Kingdom has a comparative advantage producing oil because its opportunity cost of producing oil is lower. D. has a comparative advantage producing oil because it can produce more oil. The United Kingdom E. Neither country has a comparative advantage producing oil because their opportunity costs of producing oil are equal. Can these two countries gain from trading oil and fish oil? Comparative advantage The ability of an individual, a firm, or a country to produce a good or service at a lower opportunity cost than competitors.
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10/9/16, 5 : 40 PM Homework 1-Anne Duchene Page 5 of 13 7. 8. 9. Whether carried out by an individual or a country, production beyond the production possibilities frontier With respect to consumption, individuals and countries A. can consume beyond their production possibilities frontiers only during periods of economic prosperity. B. can, through trade, consume beyond their production possibilities frontiers. C. are contrained to consume on or inside their production possibilities frontiers. D. can, by choosing not to save for the future, consume beyond their production possibilities frontiers. During the 1928 presidential election campaign, Herbert Hoover, the Republican candidate, argued that the United States should only import those products that could not be produced here. Do you believe that this would be a good policy? Explain.
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