Suppose That a Worker in Country a Can Make Either

question 86

Multiple Choice

Suppose that a worker in Country A can make either 10 iPods or 5 tablets each year.Country A has 100 workers.Suppose a worker in Country B can make either 2 iPods or 10 tablets each year.Country B has 200 workers.Which of the following is true?

• A) Country B should produce tablets and Country A should produce iPods, and they could benefit from trade.
• B) Country B should produce iPods and Country A should produce tablets, and they could benefit from trade.
• C) Neither country can benefit from trade since no comparative advantage exists.
• D) Because Country B has the absolute advantage in producing tablets, they should specialize in the production of tablets.

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Definitions:

Personality

The unique combination of emotional, attitudinal, and behavioral response patterns of an individual.

Diversity

The state of having a range of different characteristics, backgrounds, races, genders, or ideas within a group or society.

Development

Refers to the process of growth and change that happens in biological, emotional, and cognitive areas across the lifespan.

Positive Adaptation

The ability to adjust effectively to new or changing situations and to overcome adversity, often associated with resilience and mental health.