For country North,the opportunity cost incurred when 3 tractors are produced is 21 watches.For country South,the opportunity cost incurred when 5 tractors are produced is 100 watches.Which country has the comparative advantage in the production of tractors?

Question

Quizplus · Accepted Answer

The opportunity cost for North is 7 watches per tractor (21 watches / 3 tractors), and for South, it is 20 watches per tractor (100 watches / 5 tractors). North has a lower opportunity cost in producing tractors, indicating a comparative advantage in tractor production.

For Country North,the Opportunity Cost Incurred When 3 Tractors Are