According To The Chart, Which Country Has The Comparative Advantage In Oil Production?

Location Oil in thousands of barrels per day 1998 Natural gas estimate thousands cubic meters per day from 2007 Brazil 9685 26849 Mexico 30705 153370 Argentina 8467 122740 United States 62518 1495616.

According to the chart, which country has the comparative advantage in oil production?. Assume that the free trade price is in between the two country autarky prices. A Canada has a comparative advantage-in-producing both iPhones and thods. A Absolute advantage in Y.

Autarky p x p y 4060 067. According to the chart which country has the comparative advantage in oil production. Globalization increases the interdependency of the worlds countries.

The United States only requires 4 worker hours to produce one barrel of crude oil this means that the United States will produce crude oil more efficiently and make the availability of crude oil increase plus countries lacking in natural resources must import this product in order to make. Worker hours to produce one unit of natural gas Worker hours to produce one unit of oil Brazil 4 8 Argentina 2 10 Mexico 3 8 United States 1 6 According to the chart which country has the comparative advantage in oil production. In this case we see that the United States can produce one barrel of oil with fewer workers than the other countries.

Since Saudi Arabia gives up the least to produce a barrel of oil 1414 22 in Table 4 it has a comparative advantage in oil production. According to the chart below which country has the comparative advantage in oil production. Has an absolute advantage in the production of both goods but only has a comparative advantage in producing steel.

Which in good Y. B Calculate their autarky relative prices of good X p x p y. Which in good Y.