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when might the consumption-possibilities frontier with trade not be outside the consumption-possibilities frontier under autarchy? why?

2007-03-28 15:50:39 · 1 answers · asked by abc66425 1 in Social Science Economics

1 answers

In autarchy, the basis is "one" person making all of the decisions. Most of the time, with one person making all of the allocation and consumption decisions he will be unable to consume to the proper level.

Just think of trying to estimate the exact consumption of 12 million people on your own.

2007-03-31 17:24:27 · answer #1 · answered by Santa Barbara 7 · 0 0

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