Based on the Above Figure, If Countries "A" and "B

question 399

Multiple Choice

Based on the above figure, if countries "A" and "B" faced the production possibilities curves above, both countries would benefit if

• A) they did not trade.
• B) "A" produced industrial goods, and "B" produced agricultural goods.
• C) "B" produced industrial goods, and "A" produced agricultural goods.
• D) they both produced both industrial and agricultural goods.

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Definitions:

Macro Concept

A broad idea or principle that applies to large-scale phenomena or systems.

Procompetitive Legislation

Laws designed to promote competition among businesses and prevent monopolistic practices.

Establish Monopolies

The process or outcome of a single company gaining exclusive control over a commodity or service, often viewed negatively due to the potential for abuse of power.

Sweatshops

Workplaces, often in the manufacturing sector, that have poor working conditions, unfair wages, unreasonable hours, and may involve child labor.