Given That Countries a and B Each Specialize in the Production

question 42

Multiple Choice

Given that countries A and B each specialize in the production of one good and voluntarily
Trade it for the other country's good, then

• A) only country A can experience positive gains from trade.
• B) only country B can experience positive gains from trade.
• C) both countries can experience positive gains from trade.
• D) both countries experience negative gains from trade.

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Definitions:

Reasoning

The process of thinking about something in a logical way in order to form a conclusion or judgment.

Limbic System

A complex system of nerves and networks in the brain, involving several areas near the edge of the cortex concerned with instinct and mood. It controls the basic emotions (fear, pleasure, anger) and drives (hunger, sex, dominance, care of offspring).

Earliest Part

The initial segment or beginning portion of something, typically referring to time, structures, or processes.

Brain

The organ in the head of humans and other vertebrates that coordinates the body's activities, interpreting sensory information and being the center of thought and emotion.