Table 34-2
?
?
Output per Unit Labor Input
?
England
Portugal
Cloth
20
24
Wine
2
12
Using the data from Table 34-2, suppose England transfers 2 units of labor from wine to cloth and Portugal transfers 1 unit from cloth to wine. The combined production of wine and cloth will be increased by
A. 16 wine, 8 cloth.
B. 16 wine, 16 cloth.
C. 12 wine, 12 cloth.
D. 8 wine, 16 cloth.
Answer: D
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