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Use the Following to Answer Questions: Table: Production Possibilities for Kenya

Question 77

Multiple Choice

Use the following to answer questions: Table: Production Possibilities for Kenya and Sri Lanka  Beans (millions of tons)   Tea (millions of tons)   Kenya 100200 Sri Lanka 150450\begin{array} { l c c } \hline & \text { Beans (millions of tons) } & \text { Tea (millions of tons) } \\\hline \text { Kenya } & 100 & 200 \\\text { Sri Lanka } & 150 & 450 \\\hline\end{array}
-(Table: Production Possibilities for Kenya and Sri Lanka) According to the table on production possibilities for Kenya and Sri Lanka, which of the following answers identifies a trade price that both countries would find acceptable? (Units are in tons.)


A) 0.5 bean for one tea < Trade price < two teas for one bean
B) 0.5 bean for one tea < Trade price < three beans for one tea
C) two teas for one bean < Trade price < three teas for one bean
D) 0.3 bean for one tea < Trade price < two beans for one tea

Correct Answer:

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