Mexico and Japan

The following questions refer to the following table which shows the abilities of Mexico and Japan to produce food and cloth. Food and cloth are the only two commodities in the world and their production requires only labor. The amounts of labor required to produce one unit of each of these commodities in the two countries are shown in the table below.

-Refer to Mexico and Japan.What is the cost of producing 1 bushel of food in Mexico?

Question

Mexico and Japan

The following questions refer to the following table which shows the abilities of Mexico and Japan to produce food and cloth. Food and cloth are the only two commodities in the world and their production requires only labor. The amounts of labor required to produce one unit of each of these commodities in the two countries are shown in the table below.

-Refer to Mexico and Japan.What is the cost of producing 1 bushel of food in Mexico?

Quizplus · Accepted Answer

The cost of producing 1 bushel of food in Mexico is expressed in terms of opportunity cost, which is 1/2 bolt of cloth. This means that for every bushel of food produced, Mexico forgoes the production of 1/2 bolt of cloth.

Mexico and Japan The Following Questions Refer to the Following Table Which Shows