${ \text { Alpha's production possibilities } }$ The Tables Give Production Possibilities Data for Two Countries, Alpha

question 221

Multiple Choice

${ \text { Alpha's production possibilities } }$
$\begin{array}{l}\begin{array} { | l | c | c | c | c | c | } \hline & A & B & C & D & E \\\hline \text { Fish (Tons) } & 80 & 60 & 40 & 20 & 0 \\\hline \text { Chips (Tons) } & 0 & 5 & 10 & 15 & 20 \\\hline\end{array}\\\\\\{ \text { Beta's production possibilities } } \\\begin{array} { | l | c | c | c | c | c | } \hline & A & B & C & D & E \\\hline \text { Fish (Tons) } & 240 & 180 & 120 & 60 & 0 \\\hline \text { Chips (Tons) } & 0 & 10 & 20 & 30 & 40 \\\hline\end{array}\end{array}$ The tables give production possibilities data for two countries, Alpha and Beta, which have populations of equal size. Beta

• A) should specialize in catching ?sh and trade with Alpha for chips.
• B) should specialize in producing chips and trade with Alpha for ?sh.
• C) will not realize gains from specialization and trade.
• D) will export both ?sh and chips to Alpha.

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