In the following graph showing indifference curves for country A (a₁) and for country B (b₁) in a situation where both countries have the same production-possibilities frontier, in Autarky, P_X/P_Y in country A is __________ P_X/P_Y in country B, and, if trade begins, ountry A will export good __________.

Question

In the following graph showing indifference curves for country A (a<sub>1</sub>) and for country B (b<sub>1</sub>) in a situation where both countries have the same production-possibilities frontier, in Autarky, P<sub>X</sub>/P<sub>Y</sub> in country A is __________ P<sub>X</sub>/P<sub>Y</sub> in country B, and, if trade begins, ountry A will export good __________. A) less than; X B) less than; Y C) greater than; X D) greater than; Y

Quizplus · Accepted Answer

The Answer of In the following graph showing indifference curves for country A (a₁) and for country B (b₁) in a situation where both countries have the same production-possibilities frontier, in Autarky, P_X/P_Y in country A is __________ P_X/P_Y in country B, and, if trade begins, ountry A will export good __________. A) less than; X B) less than; Y C) greater than; X D) greater than; Y

In the Following Graph Showing Indifference Curves for Country a (A1)

In the Following Graph Showing Indifference Curves for Country a (A₁)