The table given below represents the output per hour of cookies and chilies in Ohio and Iowa.
Table 2.4
$\begin{array}{|ccc|}
\hline &\text { Output per Hour }\
\text { Iowa } &\text { Cookies } & \text { Chilies } \
\hline \text { Ohid } & 6 & 24 \
\hline \text { Iowa } & 12 & 96\
\hline
\end{array}$
-Refer to Table 2.4. Calculate the opportunity cost of a cookie in Iowa.

Question

The table given below represents the output per hour of cookies and chilies in Ohio and Iowa.
Table 2.4
 $\begin{array}{|ccc|}
\hline &\text { Output per Hour }\
\text { Iowa } &\text { Cookies } & \text { Chilies } \
\hline  \text { Ohid } & 6 & 24 \
\hline \text { Iowa } & 12 & 96\
\hline 
\end{array}$
-Refer to Table 2.4. Calculate the opportunity cost of a cookie in Iowa.

Quizplus · Accepted Answer

The opportunity cost of a cookie in Iowa is 8 chilies. This is because Iowa can produce 96 chilies per hour, and 12 cookies per hour. So, to produce one more cookie, Iowa must give up 8 chilies.

The Table Given Below Represents the Output Per Hour of Cookies