In Terms of a Nation's Production Possibilities Frontier,what Impact Does

question 233

Multiple Choice

In terms of a nation's production possibilities frontier,what impact does international trade have?

• A) International trade shifts the nation's production possibilities frontier outward.
• B) International trade shifts the nation's production possibilities frontier inward.
• C) International trade allows the nation to consume at a point outside its production possibilities frontier.
• D) International trade shifts the production possibilities frontier outward for the goods that are exported and inward for the goods that are imported.
• E) International trade shifts the production possibilities frontier outward for the goods that are imported and inward for the goods that are exported.

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Definitions:

Common Stock

A type of security that denotes ownership in a corporation and represents a claim on part of the corporation's profits or losses.

Cash Flow Statement

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents.

Investing Activities

Transactions involving the acquisition or disposal of long-term assets and other investments not considered as cash equivalents by a company.

Net Book Value

The current book value of an asset or company after accounting for depreciation or amortization.