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dsp73
3 years ago
15

Computer game cartridges produced in EconomyLand sell for $50 each. The same cartridges made in MarketLand sell for $100 each. I

f free trade were allowed, we would expect the prices in both countries to a. move to the lower price of $50. b. move to the higher price of $100. c. converge to somewhere between $50 and $100. d. remain unchanged.
Business
1 answer:
Leokris [45]3 years ago
5 0

Answer:

Converge to somewhere between $50 and $100.

Explanation:

Based on the information given in a situation where free trade were allowed, we would expect the prices in both countries to CONVERGE TO SOMEWHERE BETWEEN $50 and $100 reason been that we were told that the Computer game cartridges that was produced in EconomyLand sell for the amount of $50 each while on the other hand The same cartridges made in MarketLand also sell for the amount of $100 each

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