Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers.
-Refer to Table 2.3.1.Which one of the following is true?
A)The opportunity cost of producing more of good X is lower in Vulcan.
B)Vulcans are smarter than Romulans.
C)The opportunity cost of producing more of good Y is the same for both planets.
D)The opportunity cost of producing more of good Y is lower in Vulcan.
E)The opportunity cost of producing more of good X is the same for both planets.

Question

Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers. 
-Refer to Table 2.3.1.Which one of the following is true?
A)The opportunity cost of producing more of good X is lower in Vulcan. 
B)Vulcans are smarter than Romulans. 
C)The opportunity cost of producing more of good Y is the same for both planets. 
D)The opportunity cost of producing more of good Y is lower in Vulcan. 
E)The opportunity cost of producing more of good X is the same for both planets.

Quizplus · Accepted Answer

The opportunity cost of producing more of good Y is lower in Vulcan, as it has a lower slope of the production possibilities frontier for good Y compared to Romulus. This means that Vulcan can produce more units of good Y by sacrificing fewer units of good X compared to Romulus. Therefore, Vulcan has a comparative advantage in producing good Y.

Use the Figure Below to Answer the Following Questions