Economics AP

I helped Chris Chu on Sunday because we had a quiz on Monday for comparative advantage. HEHHE so I gave him examples…

Chris Chu: CARMENNNNNNN what’s the difference between comparative advantage and absolute advantage??

Me: Absolute is like which country or person or whatever that just makes the most …like for example…

Chris can rape 20 kids and kidnap 5. Connie can rape 8 kids and kidnap 15. You have the absolute advantage in raping kids. And Connie has the absolute in kidnapping. For absolute you don’t need to divide or anything. Just see who can do more. For comparative you just see who should do what to for maximum gain. 

Gots it ? Want another example ?

Chris Chu: Yea nigga gimme another :)

Me: Dominguez can sell 50 oranges and 38 apples. Some rival Mexican seller can sell 30 oranges and 100 apples. 

A little while later to show that absolute and comparative advantage were not the same… 

Me: Ryan REYNOLDS can make 3 movies and do 4 sexy shirtless photoshoots. Ryan GOSLING can only do 2 movies and 3 photoshoots. Reynolds has absolute advantage in both right ? 

Chris Chu: isn’t he banging that really old chick right now ?

Me: YES. THEY BOTH ARE. but it doesn’t matter. Anyways, for comparative advantage Reynolds is 4/3 while Gosling is 3/2 for movies. That’s 1.3 v 1.5 for opportunity cost. Opportunity cost for Gosling is higher …….BRAHBRAHBRAHWORKWORKWORK

……..and thus Reynolds should make movies and Gosling should do photoshoots. (: