If the United States Can Produce More of Both Bread

question 82

Multiple Choice

If the United States can produce more of both bread and milk than Germany can, then

• A) the United States cannot benefit from trade with Germany.
• B) Germany should buy all of its bread and milk from the United States.
• C) the United States can still benefit from trade with Germany because of comparative advantage.
• D) Germany cannot benefit from trade with the United States.