Question

Sequoia's opportunity cost of producing 1 pair of shorts is of almonds, and Glacier's opportunity cost of producing 1 pair of shorts is of almonds. Therefore, has a comparative advantage in the production of shorts, and has a comparative advantage in the production of almonds.

Answer 1

Sequoia has a comparative advantage in the production of shorts, and Glacier has a comparative advantage in the production of almonds.

Step-by-step explanation:

Comparative advantage is the ability of a country, company, or individual to produce a good or service at a lower opportunity cost than others. In this case, Sequoia has a comparative advantage in the production of shorts because its opportunity cost of producing 1 pair of shorts is lower than Glacier's opportunity cost. Conversely, Glacier has a comparative advantage in the production of almonds because its opportunity cost of producing 1 pair of shorts is lower than Sequoia's opportunity cost of producing almonds.