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The maximum production possible in Rome and in Cathay are as follows: Rome: 40 bread or 20 figs and Cathay: 20 bread or 40 figs.

The maximum production possible in Rome and in Cathay are as follows: Rome: 40 bread or 20 figs and Cathay: 20 bread or 40 figs. If each country specializes in the production of what it does best, what are the gains from trade?

a.

10 bread and 10 figs.

b.

20 bread.

c.

20 figs.

d.

There are no gains.

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