The table below shows the quantities of rice and wheat that two countries can produce in a year if they specialize in the production of each good.

-Robert is a doctor who earns an average hourly wage of $80.His wife is a teacher and earns an average hourly wage of $35.His daughter works in her college library and earns $12 per hour,while his son is a lawyer and earns $60 per hour.If one of them must stay at the house on a working day to look after their ailing pet,who can do it at the lowest opportunity cost?

Question

The table below shows the quantities of rice and wheat that two countries can produce in a year if they specialize in the production of each good.
 
-Robert is a doctor who earns an average hourly wage of $80.His wife is a teacher and earns an average hourly wage of $35.His daughter works in her college library and earns $12 per hour,while his son is a lawyer and earns $60 per hour.If one of them must stay at the house on a working day to look after their ailing pet,who can do it at the lowest opportunity cost?

Quizplus · Accepted Answer

Opportunity cost is the cost of foregone alternatives. In this case, we need to find out who has the lowest hourly wage rate so that their foregone income would be least compared to others. Among the given options, Robert has the highest hourly wage rate of $80, followed by his son with $60, then his wife with $35, and his daughter with $12. Therefore, the lowest opportunity cost would be incurred if Robert's daughter stays at home to look after their ailing pet.

The Table Below Shows the Quantities of Rice and Wheat