Table 3-26 Assume That Japan and Korea Can Switch Between Producing Cars

question 163

Multiple Choice

Table 3-26
Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate.
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-Refer to Table 3-26. Japan's opportunity cost of one airplane is

• A)1/5 car and Korea's opportunity cost of one airplane is 1/3 car.
• B)1/5 car and Korea's opportunity cost of one airplane is 3 cars.
• C)5 cars and Korea's opportunity cost of one airplane is 1/3 car.
• D)5 cars and Korea's opportunity cost of one airplane is 3 cars.

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Definitions:

Misleading Advertising

Promotional activities that intentionally or unintentionally deceive consumers about the virtues of a product or service.

Oligopolistic Market

A market structure characterized by a few firms dominating the market, where each firm is aware of the other's actions, often leading to competitive strategies.

Standardized

refers to making something conform to a standard, ensuring consistency and uniformity across different situations or applications.

Differentiated

In a market, it refers to products that are distinguished from each other through variations in quality, features, branding, or customer service.