Business, 20.10.2021 17:10, lollipopboo
Imagine there are two countries: A and B. These countries have the same amount of resources and both produce two goods, pens and scissors. If country A dedicates all of it's resources to pens, it can produce 1000 pens. If country A dedicates all of it's resources to scissors, it can produce 3000 scissors. If country B dedicates all of it's resources to pens, it can produce 500 pens. If country B dedicates all of it's resources to scissors, it can produce 1000 scissors. Now try a different trade ratio.
Required:
Which country would accept and/or not accept a trade of 200 pens for 500 scissors (i. e. the trade would benefit them)?
Answers: 2
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