The following table indicates the production possibilities of food and clothing per worker day in the United States and Japan.
Which of the following is true?
A) No gains from trade are possible.
B) Joint output would be maximized if the United States specialized in producing clothing and Japan in producing food.
C) Mutual gains from trade could be realized if the United States specialized in food production and Japan in clothing production.
D) The Japanese are the high-cost producers of both food and clothing.
Correct Answer:
Verified
Q21: Use the table below to answer the
Q27: Use the table below to answer the
Q30: Use the table below, which outlines the
Q151: Assume, for the U.S., that the domestic
Q152: According to international trade theory, a country
Q154: Suppose the United States exports cars to
Q171: When Iceland can generate a product using
Q173: For each watch Denmark produces, it gives
Q177: Which of the following is true?
A) When
Q178: Suppose there are only two goods in
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents