Use the Following to Answer Questions

question 200

Multiple Choice

Use the following to answer questions:
-(Table: Production Possibilities for Machinery and Petroleum) Look at the table Production Possibilities for Machinery and Petroleum. The opportunity cost of _____ is _____ in the United States as (than) in Mexico.

• A)petroleum; less
• B)petroleum; more
• C)petroleum; the same
• D)machinery; the same

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Definitions:

Exports of Services

Economic transactions where domestic service providers offer their services to entities in foreign countries.

Exchange Rates

The price at which one currency can be exchanged for another in the foreign exchange market.

Swiss Francs

The currency of Switzerland, known for its stability and often considered a "safe-haven" currency in times of economic uncertainty.

Yen

The official currency of Japan, often symbolized as ¥.