Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
Country B will produce more wheat than before.
B
Country B will import wheat from Country A at a lower cost.
C
Country B will stop producing cloth entirely.
D
Country B will only focus on producing other grains.
Understanding the Answer
Let's break down why this is correct
Answer
If Country A specializes in wheat production because it can produce wheat more efficiently than other goods, Country B is likely to face a few important consequences. First, Country B may start to import wheat from Country A, which allows it to focus on producing goods where it has its own comparative advantage, like machinery or electronics. This trade can lead to lower prices for wheat in Country B, benefiting consumers who can buy it more cheaply than if they produced it themselves. Additionally, as both countries specialize and trade, they can enjoy a greater variety of products and possibly increase their overall economic growth. For example, if Country A exports its wheat to Country B, Country B can use the resources it saves to invest in technology, leading to better products and higher profits.
Detailed Explanation
When Country A focuses on making wheat, it can produce it more efficiently. Other options are incorrect because This answer suggests Country B will grow more wheat, but it may not have the best conditions for it; This option implies Country B will stop making cloth, which is not true.
Key Concepts
Comparative Advantage
Specialization
Trade Efficiency
Topic
Benefits of Specialization and Trade
Difficulty
hard level question
Cognitive Level
understand
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