Multiple Choice
(Figure: Ships and Autos in Countries A and B) Two countries manufacture autos and ships. Based on the graphs, which statement is correct?
A) The opportunity cost in country A of producing 1 ship is 2 cars.
B) The opportunity cost in country B of producing 1 ship is 10 cars.
C) Country B is more efficient in the production of ships.
D) Both countries are equally efficient in the production of ships because the PPFs are linear.
Correct Answer:

Verified
Correct Answer:
Verified
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