By specializing and trading, a country is able to
A) produce but not to consume combinations of goods that lie beyond its production possibilities frontier.
B) consume but not to produce combinations of goods that lie beyond its production possibilities frontier.
C) obtain the absolute advantage in the goods it produces.
D) both produce and consume combinations of goods that lie beyond its production possibilities frontier.
E) neither produce nor consume combinations of goods that lie beyond its production possibilities frontier.
B
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Refer to Figure 10-3. Best friends Laurel and Hardy both enjoy watching romantic comedies and science fiction movies. Based on the diagrams above what can you conclude about their movie preferences?
A) The diagrams do not provide any information about relative preferences. B) They have identical movie preferences. C) Hardy enjoys romantic comedies more than Laurel. D) Hardy enjoys science fiction movies more than Laurel.
The European Union became an economic union with the implementation of which treaty?
A) Treaty of Rome B) Single Europe Treaty C) Delor's Agreement D) Treaty on European Union E) Schengen Agreement