Table 14-2
Alpha can produce either 18 oranges or 9 apples an hour, while Omega can produce either 16 oranges or 4 apples an hour.
-Refer to Table 14-2.Which of the following best describes the situation if terms of trade between the two countries are established as 1 apple for 2 oranges?
A) There is no incentive for Omega to engage in international specialization and trade of apples and oranges.
B) There is no incentive for Alpha to specialize and trade with Omega.
C) It is in the interest of Omega to grow oranges and trade for apples.
D) It is in the interest of both countries to specialize and trade with one another.
Correct Answer:
Verified
Q18: What trade agreement allows for the free
Q19: Which of the following trade agreements no
Q20: Which of the following statements about comparative
Q21: Table 14-3
Karl can produce either 10 tonnes
Q22: Table 14-2
Alpha can produce either 18 oranges
Q24: Table 14-2
Alpha can produce either 18 oranges
Q25: In Bangladesh,one person can produce 330 pounds
Q26: If Samoa could produce either 3 coconuts
Q27: Table 14-1
Alternate Outputs from One Day's Labour
Q28: In Samoa,the opportunity cost of producing 1
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