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Business, 10.03.2020 00:06 lizbeth232001

Suppose that Portugal and Austria both produce fish and shoes. Portugal's opportunity cost of producing a pair of shoes is 4 pounds of fish while Austria's opportunity cost of producing a pair of shoes is 10 pounds of fish.

By comparing the opportunity cost of producing stained glass in the two countries, you can tell that as a comparative advantage in the production of stained glass and has a comparative advantage in the production of fish.

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