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Suppose that the opportunity-cost ratio for apples and oranges is 1A 4O in Germany but 1O 1A in Japan. At which of the following international

Suppose that the opportunity-cost ratio for apples and oranges is 1A 4Oin Germany but 1O 1Ain Japan. At which of the following international exchange ratios (terms of trade) will Germany and Japan be willing to specialize and engage in trade with each other.

A)1O = 0.2A

B)1O = 0.5A

C)1O = 1.25A

D)1O = 1.5A

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