Refer to the information provided in Table 18.5 below to answer the questions that follow. Cashews are measured in bushels and tea is measured in pounds (lbs.)
Table 18.5
-Refer to Table 18.5. The most that India will be willing to pay for a lb. of tea is

Question

Refer to the information provided in Table 18.5 below to answer the questions that follow. Cashews are measured in bushels and tea is measured in pounds (lbs.)
Table 18.5 
-Refer to Table 18.5. The most that India will be willing to pay for a lb. of tea is

Quizplus · Accepted Answer

Without the specific details from Table 18.5, we can deduce the correct answer based on the principle of comparative advantage and trade benefits. The most India will be willing to pay is determined by its own opportunity cost of producing tea compared to cashews. If option B is correct, it implies that the opportunity cost of producing a pound of tea in India is lower than in the trading partner, making 1/5 of a bushel of cashews the maximum they would trade for it to ensure they benefit from the trade.

Refer to the Information Provided in Table 18