(Figure: Turtletopia and Frogland PPFs) We see that the two countries _____ benefit from trade, and that Frogland should specialize in producing _____, while Turtletopia should specialize in producing _____.

Question

Quizplus · Accepted Answer

Looking at the PPFs, we can see that Frogland has a comparative advantage in producing pork, as it has a lower opportunity cost for producing pork compared to Turtletopia. On the other hand, Turtletopia has a comparative advantage in producing corn. Therefore, both countries can benefit from trade if Frogland specializes in producing pork and Turtletopia specializes in producing corn.

(Figure: Turtletopia and Frogland PPFs) We See That the Two