Multiple Choice
Use the following to answer question:
-(Table: Wheat and Aluminum) Use Table: Wheat and Aluminum.The United States and Germany can produce both wheat and aluminum.The table shows,in tonnage,the maximum annual output combinations of wheat and aluminum that can be produced.Which choice represents a possible trade based on specialization and comparative advantage?
A) Germany would trade 2 tons of wheat to the United States for 1 ton of aluminum.
B) Germany would trade 2 tons of aluminum to the United States for 0.5 ton of wheat.
C) The United States would trade 1 ton of wheat to Germany for 1 ton of aluminum.
D) The United States would trade 1 ton of wheat to Germany for 1.5 tons of aluminum.
Correct Answer:

Verified
Correct Answer:
Verified
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