The Maximum Production Possible in Rome and in Cathay Are

question 123

Multiple Choice

The maximum production possible in Rome and in Cathay are as follows:

-If each country is self-sufficient (no trade) and each allocates one half of its resources to producing each of the two products,what will be the output in each country?

• A)40 bread and 20 figs in Rome and 20 bread and 40 figs in Cathay.
• B)40 bread and 0 figs in Rome and 20 bread and 0 figs in Cathay.
• C)0 bread and 20 figs in Rome and 0 bread and 40 figs in Cathay.
• D)20 bread and 10 figs in Rome and 10 bread and 20 figs in Cathay.

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