Suppose the country of Maverick has specialized in the production of a good but has not yet entered into trade.At this point in time,Maverick has
A)Moved to a level of production outside its production possibilities curve.
B)Shifted its production possibilities curve outward.
C)Moved along its existing production possibilities curve.
D)Moved to a level of consumption outside its production possibilities curve.

Question

Quizplus · Accepted Answer

Since Maverick has not yet entered into trade, it is still producing and consuming within its own economy. Therefore, it is just moving along its existing production possibilities curve. If it were to enter into trade, it may be able to shift its production possibilities curve outward.

Suppose the Country of Maverick Has Specialized in the Production