Suppose That There Are Only Two Countries in the World

question 51

Multiple Choice

Suppose that there are only two countries in the world, Heartland and Soulland. The two countries produce only two goods, corn and drill presses. At its current level of production, Heartland must give up production of 1/4 drill press to produce an additional 100 bushels of corn. Soulland must give up 1 drill press to produce an additional 100 bushels of corn. No trade now occurs between the two economies, and both economies are operating on their respective production possibilities frontiers.
-(Exhibit: Heartland and Soulland) If trade now opens up between the two economies, we can expect that:

• A) Both countries will be able to consume more of both goods.
• B) Heartland will end up consuming more drill presses and less corn.
• C) Heartland will consume more of both goods, but Soulland will consume less of both goods.
• D) Soulland will consume more of both goods, but Heartland will consume less of both goods.

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Definitions:

Network Design

The planning and structuring of a computer network to meet specific needs and objectives, including layout, technologies, and strategies.

Responsibility

The obligation to carry out duties, make decisions, and be accountable for the outcomes.

Product Design

The process of ideating, creating, and iterating products with the goal of solving users' problems or addressing specific needs.

Overhead Costs

Expenses incurred in the running of a business that are not directly tied to specific products or services, such as rent, utilities, and administrative salaries.