Table 3-7 Assume That Japan and Korea Can Switch Between Producing Cars

question 73

Multiple Choice

Table 3-7
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate.

-Refer to Table 3-7.Without trade,Japan produced and consumed 50 cars and 6 airplanes and Korea produced and consumed 27 cars and 7 airplanes.Then,each country agreed to specialize in the production of the good in which it has a comparative advantage and trade 28 cars for 8 airplanes.As a result,Japan gained

• A) 0 cars and 2 airplanes and Korea gained 1 car and 1 airplane.
• B) 2 cars and 2 airplanes and Korea gained 1 car and 1 airplane.
• C) 28 cars and 8 airplanes and Korea gained 28 cars and 8 airplanes.
• D) 52 cars and 8 airplanes and Korea gained 28 cars and 8 airplanes.

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Definitions:

Social Leadership

The ability of an individual to guide, influence, or inspire a group towards reaching collective goals, often involving the skillful management of group dynamics and the fostering of cooperative relationships.

Task Leadership

The ability to guide, organize, and accomplish specific goals or tasks within a group or organization.

360-Degree Feedback

A system or process in which employees receive confidential, anonymous feedback from the people who work around them.

Homeostasis

The self-regulating process by which biological systems maintain stability while adjusting to conditions that are optimal for survival.