The figure given below shows the production possibility curves for Canada (AB) and the Rest of the World (CD). Suppose Canada begins to trade with the Rest of the World. If in the international market 1 bushel of corn is exchanged for 1 liter of maple syrup, Canada will produce _____ bushels of corn and the Rest of the World will produce _____ liters of maple syrup.
A)35; 32.5
B)70; 50
C)0; 0
D)90; 100

Question

The figure given below shows the production possibility curves for Canada (AB) and the Rest of the World (CD). Suppose Canada begins to trade with the Rest of the World. If in the international market 1 bushel of corn is exchanged for 1 liter of maple syrup, Canada will produce _____ bushels of corn and the Rest of the World will produce _____ liters of maple syrup. 
A)35; 32.5 
B)70; 50 
C)0; 0 
D)90; 100

Quizplus · Accepted Answer

The Answer of The figure given below shows the production possibility curves for Canada (AB) and the Rest of the World (CD). Suppose Canada begins to trade with the Rest of the World. If in the international market 1 bushel of corn is exchanged for 1 liter of maple syrup, Canada will produce _____ bushels of corn and the Rest of the World will produce _____ liters of maple syrup. 
A)35; 32.5 
B)70; 50 
C)0; 0 
D)90; 100

The Figure Given Below Shows the Production Possibility Curves for Canada