Solved

Country a Currently Produces Ten CD Players with One Unit

Question 45

Multiple Choice

Country A currently produces ten CD players with one unit of resources and five televisions with another unit of resources. Country B currently produces eight CD players with one unit of resources and eight televisions with another unit of resources.
-If Country A uses its two units of resources to produce only CD players and if Country B uses its two units of resources to produce only televisions, the combined output of CD players and televisions from both countries will be:


A) the same as it was before specialization.
B) greater than it was before specialization.
C) smaller than it was before specialization.
D) greater or smaller than it was before specialization, depending upon which country initiated the change.

Correct Answer:

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