If Nations Quirk and Turk only produce aluminum or oil, the table below shows the maximum output of each nation. Output (units)NationsAluminumOilQuirk2040Turk3090Which one of the following terms of trade is most likely to produce mutually beneficial exchange between the two nations?

A. 1 unit of oil for 0.4 unit of aluminum
B. 0.5 unit of oil for 2 units of aluminum
C. 0.5 unit of oil for 1 unit of aluminum
D. 1 unit of oil for 4 units of aluminum


Answer: A

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