How to maximize the economic output of countries


Problem: Malaysia is more efficient growing rubber than China, but China is better tat manufacturing tires. To maximize the economic output of both countries, according to the Theory of Comparative Advantage:

A. China should import rubber from Malaysia and sell tires to Malaysia

B. Malaysia should use its rubber advantage and build tire factories

C. China should sell tires to Malaysia but refuse to buy rubber from Malaysia

D. Both countries should produce rubber and tires to maximize economic output

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Macroeconomics: How to maximize the economic output of countries
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