Scenario 20

question 36

Multiple Choice

Scenario 20.2 Suppose labor productivity differences are the only determinants of comparative advantage,and both Egypt and produce only corn and cocoa.In Egypt,10 bushels of corn or 15 pounds of cocoa can be produced in a day.In Ghana,one day of labor can be used to produce either 2 bushels of corn or 8 pounds of cocoa.
-Refer to Scenario 20.2.Egypt will be willing to trade corn for cocoa if in the international market 1 bushel of corn can be exchanged for:

• A)more than 1 pound of cocoa.
• B)less than 1 pound of cocoa.
• C)more than 1.5 pounds of cocoa.
• D)less than two-third of a pound of cocoa.
• E)more than half a pound of cocoa.

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Definitions:

Tremendous Growth

Refers to a significant and rapid increase in the size, number, or importance of something.

Teratogen

Any agent that can disturb the development of an embryo or fetus, potentially leading to birth defects, developmental problems, or pregnancy loss.

Facial Deformities

Physical anomalies or irregularities affecting the structure of the face.

Muscle Contractions

The tightening and shortening of muscle fibers in response to stimulation, producing movement or tension.