Table 3-6

-Refer to Table 3-5.How could England and Spain benefit?
A)by England specializing in bread and Spain specializing in cheese
B)by England specializing in cheese and Spain specializing in bread
C)by England specializing in both goods and Spain specializing in neither good
D)by England specializing in neither good and Spain specializing in both goods

Question

Table 3-6
 
-Refer to Table 3-5.How could England and Spain benefit?
A)by England specializing in bread and Spain specializing in cheese 
B)by England specializing in cheese and Spain specializing in bread 
C)by England specializing in both goods and Spain specializing in neither good 
D)by England specializing in neither good and Spain specializing in both goods

Quizplus · Accepted Answer

England and Spain could benefit by specializing in the production of goods for which they have a comparative advantage. If England specializes in bread and Spain specializes in cheese, they can trade to maximize efficiency and mutual benefit.

Table 3-6 -Refer to Table 3-5.How Could England and Spain Benefit