In Artland,the opportunity cost of producing 1 tonne of wheat is 2 tonnes of corn,while in Scienceland,the opportunity cost of producing 2 tonnes of wheat is 3 tonnes of corn.What action would leave both countries better off?
A) Artland sells 4 tonnes of wheat to Scienceland in return for 7 tonnes of corn.
B) Artland sells 4 tonnes of wheat to Scienceland in return for 10 tonnes of corn.
C) Scienceland sells 4 tonnes of wheat to Artland in return for 4 tonnes of corn.
D) Scienceland sells 4 tonnes of wheat to Artland in return for 7 tonnes of corn.
Correct Answer:
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