Essay
Suppose that in Belize,the opportunity cost of producing a sailboat is 5 hang gliders.In Honduras,the opportunity cost of producing a sailboat is 8 hang gliders.
A)What is the opportunity cost of producing a hang glider for Belize?
B)What is the opportunity cost of producing a hang glider for Honduras?
C)Which country has a comparative advantage in the production of hang gliders?
D)Which country has a comparative advantage in the production of sailboats?
Correct Answer:
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A. FOR BELIZE,THE OPPORTUNITY COST OF PR...
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