The Following Table Indicates the Production Possibilities of Food and Clothing

question 170

Multiple Choice

The following table indicates the production possibilities of food and clothing per worker day in the United States and Japan. Which of the following is true?

• A) No gains from trade are possible.
• B) Joint output would be maximized if the United States specialized in producing clothing and Japan in producing food.
• C) Mutual gains from trade could be realized if the United States specialized in food production and Japan in clothing production.
• D) The Japanese are the high-cost producers of both food and clothing.

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Definitions:

Managerial Resistance

The opposition or reluctance of managers to adopt new practices, changes, or innovations within an organization.

Organized Labor

An association of workers united to protect and advance their interests, often in the form of a union.

Vertically Loaded Jobs

Positions that are designed with a broad scope of tasks, responsibilities, and decision-making powers, often offering employees greater autonomy and control.

Technical Specialists

Individuals with a high level of expertise and knowledge in a specific technical area, contributing specialized skills to their work or projects.