Refer to the graph shown. Given these production possibility curves, you would suggest that:
A) Country A should specialize in widgets and Country B in wadgets.
B) No trade should take place.
C) Country A should specialize in wadgets and Country B in widgets.
D) Both countries should produce an equal amount of each.

Question

Refer to the graph shown.  Given these production possibility curves, you would suggest that:
A) Country A should specialize in widgets and Country B in wadgets. 
B) No trade should take place. 
C) Country A should specialize in wadgets and Country B in widgets. 
D) Both countries should produce an equal amount of each.

Quizplus · Accepted Answer

The Answer of Refer to the graph shown.  Given these production possibility curves, you would suggest that:
A) Country A should specialize in widgets and Country B in wadgets. 
B) No trade should take place. 
C) Country A should specialize in wadgets and Country B in widgets. 
D) Both countries should produce an equal amount of each.

Refer to the Graph Shown