Use the Following to Answer Questions: Table: Production Possibilities for Kenya

question 160

Multiple Choice

Use the following to answer questions: Table: Production Possibilities for Kenya and Sri Lanka $$\begin{array} { l c c } \hline & \text { Beans (millions of tons) } & \text { Tea (millions of tons) } \\\hline \text { Kenya } & 100 & 200 \\\text { Sri Lanka } & 150 & 450 \\\hline\end{array}$$
-(Table: Production Possibilities for Kenya and Sri Lanka) According to the table on production possibilities for Kenya and Sri Lanka, Kenya's opportunity cost of producing beans is ________, while Sri Lanka's opportunity cost of producing beans is _________.

• A) 0.5 teas; 0.33 teas
• B) two teas; 0.33 teas
• C) 200 teas; 450 teas
• D) two teas; three teas

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Definitions:

Income Tax

A tax levied by governments on individuals or entities based on their income or profits.

Saving Rate

The portion of income that is not spent on consumption but rather saved or invested.

Double Taxation

The imposition of taxes on the same income, assets, or financial transaction at two different levels of government, such as corporate income being taxed both to the corporation and to the shareholders when distributed as dividends.

Economic Growth

A rise in the production of goods and services per capita over a certain time frame.