Abe can catch 10 pounds of fish an hour or pick 10 pounds of fruit. Zeb can catch 30 pounds of fish an hour or pick 20 pounds of fruit. The opportunity cost of fish is for Abe than for Zeb, and the opportunity cost of fruit is for Abe than for Zeb.
A) higher, lower
B) lower, lower
C) higher, higher
D) lower, higher

Question

Quizplus · Accepted Answer

Abe can catch 10 pounds of fish an hour or pick 10 pounds of fruit. So, the opportunity cost of fish for Abe is 10 pounds of fruit. Zeb can catch 30 pounds of fish an hour or pick 20 pounds of fruit. So, the opportunity cost of fish for Zeb is 20/3 pounds of fruit. Therefore, the opportunity cost of fish is higher for Abe than for Zeb.Abe can catch 10 pounds of fish an hour or pick 10 pounds of fruit. So, the opportunity cost of fruit for Abe is 10 pounds of fish. Zeb can catch 30 pounds of fish an hour or pick 20 pounds of fruit. So, the opportunity cost of fruit for Zeb is 30/2 pounds of fish. Therefore, the opportunity cost of fruit is lower for Abe than for Zeb.

Abe Can Catch 10 Pounds of Fish an Hour or Pick