Multiple Choice
Suppose that a worker in Freedonia can produce either 6 units of corn or 2 units of wheat per year,and a worker in Sylvania can produce either 2 units of corn or 6 units of wheat per year.Each nation has 10 workers.Without trade,Freedonia produces and consumes 30 units of corn and 10 units of wheat per year.Sylvania produces and consumes 10 units of corn and 30 units of wheat.Then suppose that trade is initiated between the two countries,and Freedonia sends 30 units of corn to Sylvania in exchange for 30 units of wheat.What maximum amounts will Freedonia now be able to consume
A) 30 units of corn and 30 units of wheat
B) 0 units of corn and 30 units of wheat
C) 60 units of corn and 30 units of wheat
D) 0 units of corn and 60 units of wheat
Correct Answer:

Verified
Correct Answer:
Verified
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