The Following Table Indicates the Production Possibilities of Food and Clothing

question 71

Multiple Choice

The following table indicates the production possibilities of food and clothing per worker day in the United States and South Korea.

Which of the following is true?

• A)Mutual gains could be realized if the United States specialized in producing food and South Korea in producing clothing.
• B)Mutual gains could be realized if the United States specialized in clothing production and South Korea in food production.
• C)South Korean workers are the high-cost producers of clothing.
• D)None of the above are true.

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Definitions:

Heavy-Equipment Manufacturer

A company that specializes in producing large machinery used in construction, mining, and other industries requiring heavy lifting and earthmoving.

Mass Selling

A type of marketing strategy that aims to reach a wide audience through various forms of mass media, such as television, radio, or online platforms.

Advertising

The activity or profession of producing advertisements for commercial products or services.

Sales Promotion

Marketing strategies intended to increase product demand and stimulate sales more rapidly.