2. Its consumption possibilities equal its production possibilities. In fact, performance of an economy is judged by the level of its production. A country's consumption possibilities frontier can be outside its production possibilities frontier if _____. The GDP is the total value of all intermediate goods produced in the country. It promotes specialization. b. the country should produce just enough of that good for its own consumption. c. the country's opportunity cost of that good is high relative to other countries' opportunity costs of that same good. A country’s consumption possibilities are the same as its production possibilities. By year 2050, more than half of the world’s population is expected to rely in food sourced from other countries. Richness or poverty of a country is dependent upon the amount of … It achieves a higher standard of living by exporting. The same as its production possibilities frontier only if there is no international trade B. Aggregate expenditure for the country is a. According to a recent report by the EIA , China has increased its coal consumption by more than 2.3 billion tons over the last decade, accounting for a … overestimate the value of production taking place in the economy. $5.5 trillion b. d. None of the above is correct. 6.0 trillion c. 7.0 trillion d. $8.5 trillion 8. As a result of trade, even if it still bakes no bread, it can obtain 100 pairs of shoes, which is an increase of 50 pairs. Saving rather than dis-saving occurs at any level of disposable income at which A the consumption … Allocative Effic I think the other answers here are a bit technical, so let's simplify it a little and explain why exports might exceed 100% of GDP. . Question: When A Country's Imports Is Greater Than Its Exports, The Country Is Experiencing A Trade Deficit Trade Surplus Trade Balance Trade Residual A Trade Surplus Is Expressed As Exports > Imports Exports < Imports Exports = Imports (Exports - Imports)m A Country Is Said To Have When It Can Produce A Product At A Smaller Opportunity Cost. Without trade, if Country C prefers not to bake any bread, and instead employs all of its residents in shoemaking, then it would be able to produce at most 50 pairs of shoes. When a country has a comparative advantage in producing a certain good, a. the country should import that good. When the world price of an internationally traded product is greater than a country’s domestic equilibrium price. A comprehensive study conducted by Marianela Fader of Potsdam Institute for Climate Impact Research shows that population pressures will push many nations to make maximizing their domestic food production capacity a top priority. 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