If the opportunity cost of producing wheat in Canada is four buffaloes and the opportunity cost of producing wheat in the U.S. is seven sheep then we know that
A) four buffaloes must trade for seven sheep
B) seven buffaloes must trade for three sheep
C) we have insufficient information to determine anything about their trade
D) the U.S. should specialize in wheat
E) Canada should specialize in wheat
Correct Answer:
Verified
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