Table 2-5 Estonia Finland One Cell Phone 40 hours 16 hours Lumber (per board foot) 8...

 

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Table 2-5 Estonia Finland One Cell Phone 40 hours 16 hours Lumber (per board foot) 8 hours 4 hours Table 2-5 shows the number of labor hours required to produce a cell phone and a board foot of lumber in Estonia and Finland. 11) Refer to Table 2-5. What is Estonia's opportunity cost of producing one cell phone? A) 0.2 board feet of lumber B) 5 board feet of lumber C) 8 board feet of lumber D) 32 board feet of lumber 12) Refer to Table 2-5. Estonia has a comparative advantage in the production of A) neither product. B) lumber. C) cell phones. 13) Which of the following is a factor of production? A) the janitor at the local elementary school C) 20 shares of Microsoft stock D) both products. B) $500 in cash D) a sofa produced by a furniture manufacturer 14) In the circular flow model, households A) and firms spend earnings from resource sales on goods and services in the factor market. B) spend earnings from resource sales on goods and services in the product market. C) hire resources sold by firms in the factor market. D) sell goods and services in the input market. Table 2-5 Estonia Finland One Cell Phone 40 hours 16 hours Lumber (per board foot) 8 hours 4 hours Table 2-5 shows the number of labor hours required to produce a cell phone and a board foot of lumber in Estonia and Finland. 11) Refer to Table 2-5. What is Estonia's opportunity cost of producing one cell phone? A) 0.2 board feet of lumber B) 5 board feet of lumber C) 8 board feet of lumber D) 32 board feet of lumber 12) Refer to Table 2-5. Estonia has a comparative advantage in the production of A) neither product. B) lumber. C) cell phones. 13) Which of the following is a factor of production? A) the janitor at the local elementary school C) 20 shares of Microsoft stock D) both products. B) $500 in cash D) a sofa produced by a furniture manufacturer 14) In the circular flow model, households A) and firms spend earnings from resource sales on goods and services in the factor market. B) spend earnings from resource sales on goods and services in the product market. C) hire resources sold by firms in the factor market. D) sell goods and services in the input market.

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11 Estonias opportunity cost of producing one cell phone is C 8 board f... View the full answer