7.01 Comparative Advantage Task 1
1.Why did Bruce Jenner, winner of a gold medal in the 1976 Summer Olympic Games, claim that Bryan Clay, the gold medal winner in the decathlon, proved that he was the world's greatest athlete for his performance in the 2008 Summer Olympic Games?
Bruce Jenner said that Bryan Clay was the worlds greatest athlete because he was so good and had a wide variety of talents
2.Michael Phelps and Usain Bolt are both great athletes. Why did they concentrate on performing in certain athletic events (Phelps in swimming, Bolt in track and field races) rather than in a wider range of events?
They concentrated in those specific events because that’s where their skills were, Just because Michael Phelps is a fast swimmer doesn’t mean he’s fast at running and the same with Usain Bolt.
3.Why do individuals specialize in producing a narrow range of goods and services, and then trade some of the income they earn for goods and services that other individuals produce?
It is quick and they can move on quickly after its done because the economy keeps moving.
4.Why do nations specialize in the production of certain goods and services and then trade some of what they produce for goods and services produced in other nations?
Because the economy keeps going
5.Should a country produce everything it wants? Why or why not?
No, because trade is important and it builds relationships between countries which can help in cases such as war, famine, or depression
6.If Country A is better than Country B at producing everything, would Country A gain anything by trading with Country B?
Yes, they would build a trading relationship with country B
7. When a new home is built, why doesn't one contractor do everything: carpentry, electrical, plumbing and landscaping?
Every contractor doesn’t do everything because that would be way too much work for one person and everyone has their own skills. One contractor might be better at plumbing and bad at landscaping while another might be good at landscaping but bad at plumbing
8.Should Lebron James mow his own grass? Should Tiger Woods mow the grass on the golf Assignment before he plays? Should the kidney transplant surgeon tend to his own garden? Why or why not?
No I don’t think Lebron James should mow his own grass, because his skills are in basketball. Same with tiger woods and golf and kidney transplant surgeon and surgery. This is because if someone else does the job that leaves one less unemployed person and are able to use the skills they are good at.