The production possibilities for country X are either 6,000 bushels of soybeans or 10,000 bushels of wheat. The production possibilities for country Y are either 2,000 bushels of soybeans or 4,000 bushels of wheat. Which of the following is true? O Country Y should specialize in the growing of soybeans according to the principle of comparative advantage. Country X is the least-cost producer of wheat. O The domestic opportunity cost of wheat production is lower in country Y. The high-cost producer of soybeans is country X.
The production possibilities for country X are either 6,000 bushels of soybeans or 10,000 bushels of wheat. The production possibilities for country Y are either 2,000 bushels of soybeans or 4,000 bushels of wheat. Which of the following is true? O Country Y should specialize in the growing of soybeans according to the principle of comparative advantage. Country X is the least-cost producer of wheat. O The domestic opportunity cost of wheat production is lower in country Y. The high-cost producer of soybeans is country X.
Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter2: Some Tools Of The Economist
Section: Chapter Questions
Problem 7CQ
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