Table 3-26 Assume That Japan and Korea Can Switch Between Producing Cars

question 485

Multiple Choice

Table 3-26
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate.
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-Refer to Table 3-26. Assume that Japan and Korea each has 2400 hours available. Originally, each country divided its time equally between the production of cars and airplanes. Now, each country spends all its time producing the good in which it has a comparative advantage. As a result, the total output of cars increased by

• A)16.
• B)40.
• C)64.
• D)80.

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Definitions:

Identical Twin

A twin developed from a single fertilized ovum, sharing the same genetic material and often exhibiting very similar physical characteristics.

Fraternal Twin

Siblings born at the same time who are the result of the fertilization of two different eggs by two different sperm, making them genetically as similar as non-twin siblings.

Anorexia Nervosa

An eating disorder marked by an intense fear of gaining weight and a distorted body image, leading to restricted food intake.

Hypothalamus

A small region of the brain located below the thalamus, responsible for hormone production and regulation of key bodily functions such as temperature and hunger.