Table 3-26
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate.

-Refer to Table 3-26. Suppose Japan decides to increase its production of cars by 45. What is the opportunity cost of this decision?
A)9 airplanes
B)15 airplanes
C)135 airplanes
D)225 airplanes

Question

Table 3-26
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate.
​ 
-Refer to Table 3-26. Suppose Japan decides to increase its production of cars by 45. What is the opportunity cost of this decision?
A)9 airplanes 
B)15 airplanes 
C)135 airplanes 
D)225 airplanes

Quizplus · Accepted Answer

The opportunity cost of producing 45 more cars is 9 airplanes, as given in the table.

Table 3-26 Assume That Japan and Korea Can Switch Between Producing Cars