The nation of Wheatland forbids international trade. In Wheatland, you can buy 1 pound of corn for 3 pounds of fish. In other countries, you can buy 1 pound of corn for 2 pounds of fish. These facts indicate that
A)Wheatland has a comparative advantage, relative to other countries, in producing corn.
B)other countries have a comparative advantage, relative to Wheatland, in producing fish.
C)the price of fish in Wheatland exceeds the world price of fish.
D)if Wheatland were to allow trade, it would import corn.

Question

Quizplus · Accepted Answer

Wheatland would import corn because it costs more in terms of fish compared to other countries, indicating other countries can produce corn more efficiently.

The Nation of Wheatland Forbids International Trade