Use the Following to Answer Questions

question 65

Multiple Choice

Use the following to answer questions:
Figure: Countries A and B
-(Figure: Countries A and B) Refer to the figure regarding countries A and B. The opportunity cost of producing Good X in Country A is _____ and in Country B it is _____ meaning that Country _____ should specialize in producing Good X and Country _____ in Good Y.

• A) 2Y; 1Y; B; A
• B) 1/2Y; 1Y; B; A
• C) 1/2Y; 1Y; A; B
• D) 2Y; 1Y; A; B

---

Definitions:

Economic Generalization

Broad statements or principles about economic behavior that apply to different contexts and situations.

Principle

A fundamental truth or proposition that serves as the foundation for a system of belief or behavior or for a chain of reasoning.

Anomaly

An irregularity or deviation from what is standard, normal, or expected.

Hypothesis

A proposed explanation for a phenomenon, serving as a starting point for further investigation or experimentation.