Multiple Choice
Figure 3-3
-Refer to Figure 3-3.Originally,Fred was spending half of his time producing tap shoes and the other half of his time producing ballet slippers;Ginger was dividing her time the same way.Then,Fred began spending all of his time producing the good in which he has a comparative advantage,and Ginger began spending all of her time producing the good in which she has a comparative advantage.As a result,
A) total output of ballet slippers decreases by 1 and total output of tap shoes increases by 3.
B) total output of ballet slippers increases by 1 and total output of tap shoes increases by 2.
C) total output of ballet slippers increases by 2 and total output of tap shoes increases by 1.
D) total output of ballet slippers remains constant and total output of tap shoes increases by 2.
Correct Answer:

Verified
Correct Answer:
Verified
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