In each country, P and Q, one person can either produce the quantity of X or the quantity of Y shown. In which case does country P have absolute advantage in the production of Y and country Q have comparative advantage in the production of X?
✓ Correct Answer
The correct answer is D. This question tests the candidate's understanding of international trade theory (absolute & comparative advantage) within the Economicssyllabus. The examiner's mark scheme requires...
📋 Examiner Report & Trap Analysis
Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...
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