Suppose There Are Only Two Goods in the World,wheat and Shoes.If

question 10

Multiple Choice

Suppose there are only two goods in the world,wheat and shoes.If it is true that with its vast resources the United States could produce both more wheat and more shoes than Brazil,

• A)Brazil will never have a comparative advantage and,thus,can never gain from trading with the United States.
• B)trade between the United States and Brazil will make the United States better off but will leave Brazil worse off unless the wage of workers in Brazil rises to equal that of American workers.
• C)total production of wheat and shoes cannot be increased through specialization and trade.
• D)both countries will be able to gain from specialization and trade as long as relative costs of producing the two goods are different in Brazil than in the United States.

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Definitions:

Correlation

A quantitative measure that demonstrates the extent of simultaneous variation between two or more variables.

Prolonged Stress

Refers to a chronic state of stress that lasts for an extended period of time, potentially leading to negative health outcomes.

Cortisol Levels

The concentration of cortisol, a hormone produced by the adrenal glands, which is often measured to assess stress response or adrenal function.

Epinephrine Levels

The concentration of epinephrine, also known as adrenaline, a hormone and neurotransmitter involved in the body's fight-or-flight response.