Suppose a country without any international trade opens its borders to international trade. How will its location on its production possibility frontier change?
A) The country moves from inside the PPF to on the PPF.
B) The country moves from on the PPF to beyond the PPF.
C) The country moves along the PPF toward its comparative advantage.
D) The country moves along the PPF away from its comparative advantage.
Correct Answer:
Verified
Q51: Anita is a wonderful baker and can
Q53: The production possibilities frontier shows:
A) the combinations
Q58: On a production possibilities frontier a trade-off
Q64: Q65: Q67: Traders should specialize in the good in Q69: Q71: A fundamental idea behind the production possibilities Q72: The opportunity cost of producing a particular Q73: Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents