Given the Following Graph Showing Production-Possibilities Frontiers for Country a and Country

question 2

Multiple Choice

Given the following graph showing production-possibilities frontiers for country A and country B in a situation where both countries are on the same community indifference curve S₁ in autarky:

Prior to trade, P_X/P_Y in country A is __________ P_X/P_Y in country B, and, when trade begins, country A will import good __________.

• A) greater than; X
• B) greater than; Y
• C) less than; X
• D) less than; Y

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Definitions:

Internet Technology

Refers to the hardware and software that enable computers and other devices to connect to the internet, supporting communications and information exchange globally.

Proximity

The physical or psychological closeness between people or objects, often affecting their interaction and relationships.

Rejection Sensitivity

A heightened tendency to anxiously expect, readily perceive, and overreact to rejection.

Transference

A psychological phenomenon where feelings, desires, and expectations from one person are redirected and applied to another.