Below Is Production Possibilities Data for the Countries of Mental

question 35

Multiple Choice

Below is production possibilities data for the countries of Mental and Etheric.

-Refer to the information above to answer this question.Suppose that the two countries specialize and engage in free trade and establish the terms of trade at 1 unit of rice cake = 1.5 units of soya milk.If Etheric exports 30 million units of rice cakes to Mental,what will be the consumption combinations for Etheric?

• A)30 million units of soya milk and 55 million units of rice cakes.
• B)45 million units of soya milk and 90 million units of rice cakes.
• C)55 million units of soya milk and 30 million units of rice cakes.
• D)90 million units of soya milk and 45 million units of rice cakes.
• E)10 million units of soya milk and 30 million units of rice cakes.

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Definitions:

Reflect

To carefully think about or consider past experiences, actions, or decisions to gain insights or learn lessons.

Principled Negotiation

A negotiation strategy that focuses on mutual interests and objective standards rather than power, pressure, or personal desires, aiming for a win-win outcome.

Positional Negotiation

A bargaining process where each party takes a specific stance or position and negotiates from that baseline, often leading to a win-lose outcome.

Brainstorming Solutions

A creative problem-solving technique that involves generating a wide range of ideas in a group setting to find a solution to a specific problem.