Figure 3-3

-Refer to Figure 3-3.Which of the following is not correct?
A) Arturo and Dina could each consume 100 tacos and 100 burritos without trade.
B) Neither Arturo nor Dina could each consume 200 tacos and 200 burritos without trade.
C) Arturo and Dina could each consume 200 tacos and 200 burritos with trade.
D) Total consumption of burritos could not be 600 either with or without trade.

Question

Figure 3-3
 
-Refer to Figure 3-3.Which of the following is not correct?
A) Arturo and Dina could each consume 100 tacos and 100 burritos without trade. 
B) Neither Arturo nor Dina could each consume 200 tacos and 200 burritos without trade. 
C) Arturo and Dina could each consume 200 tacos and 200 burritos with trade. 
D) Total consumption of burritos could not be 600 either with or without trade.

Quizplus · Accepted Answer

The statement that Arturo and Dina could each consume 200 tacos and 200 burritos with trade is incorrect because trade does not increase the total production possibilities beyond the combined production capabilities of both individuals.

Figure 3-3 -Refer to Figure 3-3.Which of the Following Is Not Correct