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Assume That Only Two Countries, a and B, Exist

Question 38

Multiple Choice

Assume that only two countries, A and B, exist.
Assume that only two countries, A and B, exist.    -Refer to the table above. You are told that Country B is very much larger than country A. The correct answer is A)  country B will export good S. B)  country A will export good S. C)  both countries will export good S. D)  trade will not occur between these two countries. E)  both countries will import good S.
-Refer to the table above. You are told that Country B is very much larger than country A. The correct answer is


A) country B will export good S.
B) country A will export good S.
C) both countries will export good S.
D) trade will not occur between these two countries.
E) both countries will import good S.

Correct Answer:

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