Question: Given the information in the table below; Unit Labor Requirements Home Foreign Cloth 100 60 Widgets 300 30 b) a) What is the opportunity

Given the information in the table below; Unit Labor Requirements Home Foreign Cloth 100 60 Widgets 300 30 b) a) What is the opportunity cost of Cloth in terms of Widgets in Foreign? What is the opportunity cost of Widgets in terms of Cloth in Home? c) Suppose Peloth = $250 and Pwidgets = $90; what is the wage rate in both industries in both countries?

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a The opportunity cost of Cloth in terms of Widgets in Foreign is 15 Widgets per Cloth 60 Cloth 30 Widgets b The opportunity cost of Widgets in terms ... View full answer

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