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Suppose That in Belgium,the Opportunity Cost of Producing a Trombone

question 60

Essay

Suppose that in Belgium,the opportunity cost of producing a trombone is 8 clarinets.In Denmark,the opportunity cost of producing a trombone is 6 clarinets.
a.What is the opportunity cost of producing a clarinet for Belgium?
b.What is the opportunity cost of producing a clarinet for Denmark?
c.Which country has a comparative advantage in the production of clarinets?
d.Which country has a comparative advantage in the production of trombones?


Definitions:

System

A set of principles or procedures according to which something is done; an organized scheme or method.

Determinant

A scalar value that can be computed from the elements of a square matrix and reflects the volume scaling factor of the linear transformation described by the matrix.

Equation

A mathematical statement that asserts the equality of two expressions, usually connected by an equals sign.

Line

A line is described as a shape with no thickness that goes on infinitely in two opposite directions and is one-dimensional.

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