The table below shows units of wheat and cloth produced by each worker per day in both the countries.Table 20.1

-According to Table 20.1, the opportunity cost of producing one unit of wheat in the U.S. equals:

Question

The table below shows units of wheat and cloth produced by each worker per day in both the countries.Table 20.1
 
-According to Table 20.1, the opportunity cost of producing one unit of wheat in the U.S. equals:

Quizplus · Accepted Answer

The opportunity cost of producing one unit of something is determined by what is given up to produce that unit. If the U.S. can produce wheat at the cost of one-third of a unit of cloth, it means for every unit of wheat produced, the U.S. gives up the production of one-third of a unit of cloth. This is a basic principle of economics where resources are limited and choosing to produce one good (wheat) comes at the cost of not producing another (cloth).

The Table Below Shows Units of Wheat and Cloth Produced