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(Table: Production Possibilities for the United States and Canada) Look

Question 59

Essay

(Table: Production Possibilities for the United States and Canada) Look at the table Production Possibilities for the United States and Canada.Both nations can produce cars and lumber.If these nations were to specialize and trade, which of the following is a potential agreement that would benefit both nations?
A.The United States would export 1 million cars to Canada in exchange for 2 million board feet of lumber.
B.The United States would export 1 million cars to Canada in exchange for 0.5 million board feet of lumber.
C.The United States would export 1 million cars to Canada in exchange for 8 million board feet of lumber.
D.The United States would export 1 million cars to Canada in exchange for 1 million board feet of lumber.

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The United States would export...

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