-Refer to the above table. If opportunity costs are constant and both countries produce only the goods for which they have comparative advantages and then trade, hourly world output would equal
A)4 units of product A and 4 units of product B.
B)8 units of product A and 4 units of product B.
C)8 units of product A and 8 units of product B.
D)12 units of product A and 8 units of product B.

Question

-Refer to the above table. If opportunity costs are constant and both countries produce only the goods for which they have comparative advantages and then trade, hourly world output would equal
A)4 units of product A and 4 units of product B. 
B)8 units of product A and 4 units of product B. 
C)8 units of product A and 8 units of product B. 
D)12 units of product A and 8 units of product B.

Quizplus · Accepted Answer

The Answer of 
-Refer to the above table. If opportunity costs are constant and both countries produce only the goods for which they have comparative advantages and then trade, hourly world output would equal
A)4 units of product A and 4 units of product B. 
B)8 units of product A and 4 units of product B. 
C)8 units of product A and 8 units of product B. 
D)12 units of product A and 8 units of product B.

-Refer to the Above Table