Table 3-24
Assume that England and Spain can switch between producing cheese and producing bread at a constant rate.

-Refer to Table 3-24. If England and Spain each spends all its time producing the good in which it has a comparative advantage and the countries agree to trade 2 units of bread for 6 units of cheese, then England will consume
A)34 units of cheese and 2 units of bread and Spain will consume 6 units of cheese and 3 units of bread.
B)34 units of cheese and 2 units of bread and Spain will consume 16 units of cheese and 3 units of bread.
C)34 units of cheese and 12 units of bread and Spain will consume 6 units of cheese and 3 units of bread.
D)34 units of cheese and 12 units of bread and Spain will consume 16 units of cheese and 3 units of bread.

Question

Table 3-24
Assume that England and Spain can switch between producing cheese and producing bread at a constant rate.
​  ​
-Refer to Table 3-24. If England and Spain each spends all its time producing the good in which it has a comparative advantage and the countries agree to trade 2 units of bread for 6 units of cheese, then England will consume
A)34 units of cheese and 2 units of bread and Spain will consume 6 units of cheese and 3 units of bread. 
B)34 units of cheese and 2 units of bread and Spain will consume 16 units of cheese and 3 units of bread. 
C)34 units of cheese and 12 units of bread and Spain will consume 6 units of cheese and 3 units of bread. 
D)34 units of cheese and 12 units of bread and Spain will consume 16 units of cheese and 3 units of bread.

Quizplus · Accepted Answer

The Answer of Table 3-24
Assume that England and Spain can switch between producing cheese and producing bread at a constant rate.
​  ​
-Refer to Table 3-24. If England and Spain each spends all its time producing the good in which it has a comparative advantage and the countries agree to trade 2 units of bread for 6 units of cheese, then England will consume
A)34 units of cheese and 2 units of bread and Spain will consume 6 units of cheese and 3 units of bread. 
B)34 units of cheese and 2 units of bread and Spain will consume 16 units of cheese and 3 units of bread. 
C)34 units of cheese and 12 units of bread and Spain will consume 6 units of cheese and 3 units of bread. 
D)34 units of cheese and 12 units of bread and Spain will consume 16 units of cheese and 3 units of bread.

Table 3-24 Assume That England and Spain Can Switch Between Producing Cheese