Use the production possibilities data below for Avokia and Baldonia to answer the following question(s).
Table 2-2
Refer to Table 2-2. Which of the following would be a mutually agreeable rate of exchange?
A) Baldonia trades one orange to Avokia for every one apple.
B) Baldonia trades one orange to Avokia for every two apples.
C) Baldonia trades one orange to Avokia for every three apples.
D) Baldonia trades one orange to Avokia for every four apples.

Question

Use the production possibilities data below for Avokia and Baldonia to answer the following question(s).
Table 2-2
  Refer to Table 2-2. Which of the following would be a mutually agreeable rate of exchange?
A) Baldonia trades one orange to Avokia for every one apple. 
B) Baldonia trades one orange to Avokia for every two apples. 
C) Baldonia trades one orange to Avokia for every three apples. 
D) Baldonia trades one orange to Avokia for every four apples.

Quizplus · Accepted Answer

The Answer of Use the production possibilities data below for Avokia and Baldonia to answer the following question(s).
Table 2-2
  Refer to Table 2-2. Which of the following would be a mutually agreeable rate of exchange?
A) Baldonia trades one orange to Avokia for every one apple. 
B) Baldonia trades one orange to Avokia for every two apples. 
C) Baldonia trades one orange to Avokia for every three apples. 
D) Baldonia trades one orange to Avokia for every four apples.

Use the Production Possibilities Data Below for Avokia and Baldonia