Multiple Choice
Mark values his drum set at $800 and Ella values her guitar at $1,000. Suppose that Mark trades his drum set for Ella's guitar.
A) This trade makes Ella worse off by $200.
B) This trade makes Mark better off by $200.
C) Mark must value Ella's guitar for at least $1,000, and Ella must value Mark's drum set for at least $800.
D) This trade creates value by moving the guitar and drum set to people who value them more.
Correct Answer:
Verified
Correct Answer:
Verified
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