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Suppose That a Worker in Radioland Can Produce Either 4

Question 48

Multiple Choice

Suppose that a worker in Radioland can produce either 4 radios or 1 television per year,and a worker in Teeveeland can produce either 2 radios or 4 televisions per year.Each nation has 100 workers.Also suppose that each country completely specializes in producing the good in which it has a comparative advantage.If Radioland trades 100 radios to Teeveeland in exchange for 100 televisions each year,then each country's maximum consumption of new radios and televisions per year will be


A) 100 radios,300 televisions in Radioland and 300 radios,100 televisions in Teeveeland.
B) 300 radios,100 televisions in Radioland and 100 radios,300 televisions in Teeveeland.
C) 200 radios,100 televisions in Radioland and 100 radios,200 televisions in Teeveeland.
D) 300 radios,100 televisions in Radioland and 100 radios,400 televisions in Teeveeland.

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