Table 3-30 Assume That Falda and Varick Can Switch Between Producing Wheat

question 436

Multiple Choice

Table 3-30
Assume that Falda and Varick can switch between producing wheat and producing cloth at a constant rate.
-Refer to Table 3-30. Falda has an absolute advantage in the production of

• A)wheat.
• B)cloth.
• C)both goods.
• D)neither good.

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Definitions:

Cognition

The act of learning and apprehending through the mechanisms of contemplation, life experiences, and the use of the senses.

Dispositionism

Dispositionism is a psychological theory that attributes behavior to inherent qualities or traits of the individual rather than to external circumstances.

Collectivism

An ideology or value system that emphasizes the priority of group goals over individual goals and the importance of cohesion within social groups.

Situationism

A theory in psychology that suggests human behavior is greatly influenced by external situational factors rather than by internal traits or motivations.