Nate and Dylan are brothers. They have to mow the lawn and clean their rooms before they can go to the high school football game. Nate mows the lawn and Dylan picks up the rooms, and they make it to the football game on time. This statement best represents this economic concept:
A)People usually exploit opportunities to make themselves better off.
B)There are gains from trade.
C)Markets usually lead to efficiency.
D)One person's spending is another person's income.

Question

Quizplus · Accepted Answer

The concept of gains from trade is relevant in this scenario because Nate and Dylan divided the tasks based on their comparative advantages, leading to greater efficiency in completing the tasks. By specializing in tasks they were better suited for, they were able to complete them more quickly and move on to enjoy the benefits of attending the football game.

Nate and Dylan Are Brothers