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Question 56

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Figure: PPF Goods X & Y Use the following to answer questions: Figure: PPF Goods X & Y   -Suppose a country without any international trade opens its borders to international trade. After specialization how will its location on its production possibility frontier change? A)  The country moves from inside the PPF to on the PPF. B)  The country moves from on the PPF to beyond the PPF. C)  The country moves along the PPF toward its comparative advantage. D)  The country moves along the PPF away from its comparative advantage.
-Suppose a country without any international trade opens its borders to international trade. After specialization how will its location on its production possibility frontier change?


A) The country moves from inside the PPF to on the PPF.
B) The country moves from on the PPF to beyond the PPF.
C) The country moves along the PPF toward its comparative advantage.
D) The country moves along the PPF away from its comparative advantage.

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