The table sets out the possible combinations of apples and bananas that Country X and Country Y can produce, on the assumption that only these two goods are made and that all resources are being used to their fullest extent. Country Y chooses to specialise in producing the good for which it has a comparative advantage. Country X chooses to allocate 75% of its resources to the good for which it has a comparative advantage and 25% of its resources to the other good. What will be the total output?
- Aapples 50; bananas 80
- Bapples 75; bananas 45
- Capples 75; bananas 60
- Dapples 150; bananas 120