Table 2-4

Table 2-4 shows the number of labor hours required to produce a cell phone and a board foot of lumber in Estonia and Finland.
-Refer to Table 2-4.What is Finland's opportunity cost of producing one cell phone?

Question

Table 2-4
  
Table 2-4 shows the number of labor hours required to produce a cell phone and a board foot of lumber in Estonia and Finland.
-Refer to Table 2-4.What is Finland's opportunity cost of producing one cell phone?

Quizplus · Accepted Answer

The opportunity cost of producing one cell phone in Finland is the amount of lumber that could have been produced instead. According to the table, Finland can produce either 1 cell phone or 4 board feet of lumber, so the opportunity cost is 4 board feet of lumber.

Table 2-4 Table 2-4 Shows the Number of Labor Hours Required to of Labor