Figure 3-2 -Refer to Figure 3-2. the Fact That the Line Slopes

question 163

Multiple Choice

Figure 3-2

-Refer to Figure 3-2. The fact that the line slopes downward reflects the fact that

• A)for Venezuela, it is more costly to produce peanuts than it is to produce cashews.
• B)Venezuela will produce more peanuts and fewer cashews as time goes by.
• C)Venezuela faces a trade-off between producing peanuts and producing cashews.
• D)Venezuela should specialize in producing cashews.

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