Assume That Two Countries (Home and Foreign) Each Produce Two

question 32

Multiple Choice

Assume that two countries (Home and Foreign) each produce two goods
(corn and wheat) under constant cost production.Home produces 0.5
Ton of corn or 1 ton of wheat with a day of labor.Without trade (in
Autarky) , Home's daily production is 20 tons of wheat and 10 tons of
Corn.What is Home's price of corn in autarky?

• A)0.5 ton of wheat per ton of corn
• B)20 tons of wheat per ton of corn
• C)10 tons of wheat
• D)2 tons of wheat

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Definitions:

Shoplifting

A criminal act of stealing goods from a retail establishment without paying for them.

Sarbanes-Oxley Act

A federal law enacted in 2002 to protect investors from fraudulent accounting activities by corporations.

Accounting Oversight Board

A regulatory organization that oversees the audits of public companies to protect the interests of investors and further the public interest in the preparation of informative, fair, and independent audit reports.

Civil and Criminal Penalties

Legal sanctions that can be imposed for violations of law, with civil penalties typically involving fines or damages and criminal penalties involving imprisonment or probation.