Table 3-36 -Refer to Table 3-36. If Antigua and Barbuda Decide to Barbuda

question 158

Multiple Choice

Table 3-36
-Refer to Table 3-36. If Antigua and Barbuda decide to trade with each other, Antigua should specialize in the production of

• A)towels and Barbuda should specialize in the production of umbrellas.
• B)umbrellas and Barbuda should specialize in the production of towels.
• C)both goods and Barbuda should specialize in the production of neither good.
• D)neither good and Barbuda should specialize in the production of both goods.

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Definitions:

Industrialized Countries

Nations characterized by significant industrial activity, a high level of development, and a strong economy.

Savings Rate

The percentage of disposable income that is set aside as savings instead of being expended on goods and services.

Economic Growth

An increase in a country's capacity to produce goods and services, compared from one period of time to another.

Workers

Individuals engaged in any form of employment or labor to produce goods or provide services.