Jack trades his basketball for Jim's baseball glove. This simple trade is
A) unproductive, because nothing new has been produced.
B) productive, because Jack and Jim expect to be better off by trading.
C) costless, because no money was involved in the deal.
D) a cost to the manufacturer because neither Jack nor Jim bought a new ball or glove.
E) not good for the overall economy, for reasons A and D above.
B
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