Table 19-11
Production and
Consumption Production
Without Trade With Trade
$$\begin{array} { | l | l | l | l | l | l | }
\hline & \text { Clucks } & \text { Huts } & & \text { Clocks } & \text { Hats } \
\hline \text { Derrnark } & 900 & 150 && 1,200 & 0 \
\hline \text { Belize } & 150 & 100 && 0 & 400 \
\hline
\end{array}$$
Denmark and Belize can produce both clocks and hats.Table 19-11 shows the production and consumption quantities without trade, and the production numbers with trade.
-Refer to Table 19-11.Prior to trade,what was the opportunity cost to produce 1 clock in Denmark?

Question

Table 19-11
Production and
Consumption Production
Without Trade With Trade
 $$\begin{array} { | l | l | l | l | l | l | } 
\hline & \text { Clucks } & \text { Huts } & & \text { Clocks } & \text { Hats } \
\hline \text { Derrnark } & 900 & 150 && 1,200 & 0 \
\hline \text { Belize } & 150 & 100 && 0 & 400 \
\hline
\end{array}$$ 
Denmark and Belize can produce both clocks and hats.Table 19-11 shows the production and consumption quantities without trade, and the production numbers with trade.
-Refer to Table 19-11.Prior to trade,what was the opportunity cost to produce 1 clock in Denmark?

Quizplus · Accepted Answer

The opportunity cost of producing 1 clock in Denmark is 1/6 of a hat. This is because Denmark can produce 6 hats for every 1 clock it produces.

Table 19-11 Production and Consumption Production Without Trade with Trade

Table 19-11
Production and
Consumption Production
Without Trade with Trade