Use the Following to Answer Questions

Multiple Choice

Use the following to answer questions:
Scenario: Countries A and B
Two countries, A and B, produce two goods, wheat (W) and steel (S) . Each has a linear production possibility frontier in both goods. If country A spends all of its available resources to produce wheat, it can produce 500 tons of wheat and no steel. If it uses all of its resources to produce steel, it can produce 250 tons of steel and no wheat. If country B spends all of its available resources producing wheat, it can produce 400 tons of wheat, and if it spends all of its resources on the production of steel, it can produce 400 tons of steel.
-(Scenario: Countries A and B) Look at the scenario Countries A and B. If countries A and B both specialize and trade:

A) only country A will gain.
B) only country B will gain.
C) country A and country B will gain if they both specialize in the good in which they have a comparative advantage.
D) neither country will gain.