Figure 34-9
?

In Figure 34-9, hostilities break out between Pastaland and Pestoland after Pestoland violates the Treaty of Basil. Consequently, trade stops and the price of pasta

A. rises to OJ in both countries.
B. falls to OC in both countries.
C. falls to OC in Pastaland and rises to OJ in Pestoland.
D. rises to OJ in Pastaland and falls to OC in Pestoland.


Answer: D

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