Table 13.14 shows the output of kumquats per month.

-If a country's trading possibilities curve lies to the right of its production possibilities curve,there are no gains from trade.

Question

Table 13.14 shows the output of kumquats per month.
 
-If a country's trading possibilities curve lies to the right of its production possibilities curve,there are no gains from trade.

Quizplus · Accepted Answer

If a country's trading possibilities curve lies to the right of its production possibilities curve, it means that the country can produce more than what it needs and can benefit from trade with other countries. Therefore, there are gains from trade.

Table 1314 Shows the Output of Kumquats Per Month