Based on the Information in Table 35

question 82

Multiple Choice

Based on the information in Table 35.1, assume China and the United States have the same amount of resources with which to produce soybeans and computers and they produce no other goods. The output of computers and soybeans would be greatest if

• A) China specialized in producing soybeans, and the United States specialized in producing computers.
• B) Both countries prohibited trade.
• C) China specialized in producing computers, while the United States specialized in producing soybeans.
• D) The United States produced both goods and exported them to China.

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Definitions:

Profits-Payoff Table

A tabular representation that illustrates the potential profits or payoffs from various business strategies or decisions under different scenarios.

Duopoly

A market structure characterized by two companies controlling the majority of the market share for a good or service.

Firm X

A placeholder name commonly used in economic and business contexts to refer to a hypothetical or unidentified company.

Game Theory Matrix

A table or grid representing the possible outcomes of different strategies played by participants in a situation where their decisions affect each other.