Table 3-1 Assume That Andia and Zardia Can Switch Between Producing Wheat

question 298

Multiple Choice

Table 3-1
Assume that Andia and Zardia can switch between producing wheat and producing beef at a constant rate.

-Refer to Table 3-1.Andia should specialize in the production of

• A) wheat and Zardia should specialize in the production of beef.
• B) beef and Zardia should specialize in the production of wheat.
• C) both goods and Zardia should specialize in the production of neither good.
• D) neither good and Zardia should specialize in the production of both goods.

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Definitions:

Boomerangs

Traditionally, a curved throwing tool used for hunting, but in modern contexts, often refers to adult children returning to live in their parents' home.

Absolute Advantage

The ability of an individual, company, or country to produce a good or service at a lower cost per unit than competitors.

Opportunity Cost

The consequence in terms of lost benefits from not selecting the immediate next preferable option when making a choice.

Productivity

The measure of the efficiency of a person, machine, factory, system, etc., in converting inputs into useful outputs.