If Individuals a and B Can Both Produce Only Goods

question 123

Multiple Choice

If individuals A and B can both produce only goods X and Y, and A does not have a comparative advantage in the production of either X or Y, then we know

• A)A and B have the same opportunity costs of production for X and for Y.
• B)the gains from trade will be large but only in one direction.
• C)B has a comparative advantage in the production of both X and Y.
• D)A must have lower opportunity costs of production for both goods.
• E)B has an absolute advantage in the production of X and Y.

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Definitions:

Poor Fitness

A state characterized by inadequate physical condition or lack of physical strength, endurance, and flexibility.

Dynamic Flexibility

The ability of a muscle to quickly and repeatedly stretch and contract through a wide range of motion.

Range Of Motion

The full movement potential of a joint, usually its range of flexion and extension.

Neglected Component

A critical part or aspect of something that is often overlooked or given insufficient attention.