If, with one unit of labor, the U.S. can produce 20 units of computer software and 10 units of computer hardware, and China can produce 6 units of software and 4 units of hardware, then trade can make

A. both better off.
B. neither better off.
C. the U.S. better off but not China.
D. China better off but not the U.S.


Answer: A

Economics

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