2. The table below summarizes the number of hours it takes to manufacture cars and dinghy in Germany and PNG. No. of hours to make one car No. of hours to build a dinghy Germany Papua New Guinea 30 20 60 30 a. Which country has an absolute advantage at making cars? Which country has an absolute advantage at making dinghy? b. Estimate the opportunity cost of making car and dinghy in each set of countries. c. Which country has a comparative advantage for manufacturing cars? Which set of country has a comparative advantage for manufacturing low quality cars?

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