Use the following information to answer the questions below: China requires 9 hours to produce 1 ton of rice and 3 to produce 1 ton of lentils. India requires 3 hours to produce 1 ton of rice and 6 to produce 1 ton of lentils. What is the opportunity cost of rice for both nations? (Round your answer 2 decimal places) The opportunity cost of 1 ton of rice is (Click to select) in China. Who should specialize in the production of lentils? (Click to select) should produce lentils. If the terms of trade were 1 ton of rice for 2 tons of lentils, would the countries engage in trade? (Click to select)

Use the following information to answer the questions below: China requires 9 hours to produce 1 ton of rice and 3 to produce 1 ton of lentils. India requires 3 hours to produce 1 ton of rice and 6 to produce 1 ton of lentils. What is the opportunity cost of rice for both nations? (Round your answer 2 decimal places) The opportunity cost of 1 ton of rice is (Click to select) in China. Who should specialize in the production of lentils? (Click to select) should produce lentils. If the terms of trade were 1 ton of rice for 2 tons of lentils, would the countries engage in trade? (Click to select)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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