Table 3-7
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate.
-Refer to Table 3-7. Assume that Japan and Korea each has 2400 hours available. Originally, each country divided its time equally between the production of cars and airplanes. Now, each country spends all its time producing the good in which it has a comparative advantage. As a result, the total output of cars increased by
A) 16.
B) 40.
C) 64.
D) 80.

Question

Table 3-7
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate. 
-Refer to Table 3-7. Assume that Japan and Korea each has 2400 hours available. Originally, each country divided its time equally between the production of cars and airplanes. Now, each country spends all its time producing the good in which it has a comparative advantage. As a result, the total output of cars increased by
A) 16. 
B) 40. 
C) 64. 
D) 80.

Quizplus · Accepted Answer

The Answer of Table 3-7
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate. 
-Refer to Table 3-7. Assume that Japan and Korea each has 2400 hours available. Originally, each country divided its time equally between the production of cars and airplanes. Now, each country spends all its time producing the good in which it has a comparative advantage. As a result, the total output of cars increased by
A) 16. 
B) 40. 
C) 64. 
D) 80.

Table 3-7 Assume That Japan and Korea Can Switch Between Producing Cars