Answer the Question Using the Accompanying Cost Ratios for Two

question 19

Multiple Choice

Answer the question using the accompanying cost ratios for two products, fish (F) and chicken (C) , in countries Singsong and Harmony. Assume that production occurs under conditions of constant costs and that these are the only two nations in the world.Singsong: 1F = 2CHarmony: 1F = 4CIn Singsong the domestic real cost of each chicken

• A)is ½ fish.
• B)is 2 fish.
• C)increases with the level of fish caught.
• D)decreases with the level of fish caught.

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