Which of the Following Is a Reason People Might Choose

question 27

Multiple Choice

Which of the following is a reason people might choose not to specialize?

• A) Specialization can lead people to consume more than if they would if they were self-sufficient.
• B) Specialization can lead people to consume beyond the production possibilities frontier.
• C) Specialization allows people to acquire goods at a lower opportunity cost.
• D) Production standards are harder to control if goods are imported from other countries.

---

Definitions:

Nation'S Currency

The legal tender issued by a country's central bank or government, serving as the medium of exchange within the country.

Exports And Imports

Goods and services sold to other countries (exports) and goods and services purchased from other countries (imports).

Net Transfers

The difference between the total amounts of transfers received and the total amounts of transfers paid out by an individual, household, or country.

Balance Of Payments

An accounting record of all monetary transactions between a country and the rest of the world over a specific time period.