Michael and Angelo are both artists who can create sculptures or paintings each day. The following table describes their maximum outputs per day. Use this table to answer the questions that follow.

-What is Michael's opportunity cost of a painting?
A) 1/2 painting
B) 1/2 sculpture
C) 3 paintings
D) 2 sculptures
E) 2 paintings

Question

Michael and Angelo are both artists who can create sculptures or paintings each day. The following table describes their maximum outputs per day. Use this table to answer the questions that follow.
 
-What is Michael's opportunity cost of a painting?
A) 1/2 painting 
B) 1/2 sculpture 
C) 3 paintings 
D) 2 sculptures 
E) 2 paintings

Quizplus · Accepted Answer

The opportunity cost of a painting for Michael is 2 sculptures, meaning for every painting he creates, he gives up the opportunity to create 2 sculptures. Therefore, the best choice for Michael is to focus on producing sculptures, as he has a comparative advantage in that area over Angelo. Angelo, on the other hand, has an opportunity cost of 1/2 sculpture for a painting, meaning for every painting he creates, he gives up the opportunity to create 1/2 sculpture. Therefore, the best choice for Angelo is to focus on painting, as he has a comparative advantage in that area over Michael.

Michael and Angelo Are Both Artists Who Can Create Sculptures