Mutually Beneficial Trade Will Occur Whenever the Exchange Rate Between

Mutually beneficial trade will occur whenever the exchange rate between the goods involved is set at a level where:

A) ​each country can export a good at a price below the opportunity cost of producing the good in the domestic market.
B) ​each country can import a good at a price below the opportunity cost of producing the good in the domestic market.
C) ​the exchange ratio is exactly equal to the opportunity cost of producing the good in each country.
D) ​each country will specialize in the production of those goods in which it has an absolute advantage.

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