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Question
Table 9-6Production and
Consumption Production
Without Trade With Trade
| Clocks | Hats | Clocks | Hats | |
| Denmark | 900 | 150 | 1,200 | 0 |
| Belize | 150 | 100 | 0 | 400 |
Denmark and Belize can produce both clocks and hats. Table 9-6 shows the production and consumption quantities without trade, and the production numbers with trade.
Refer to Table 9-6. Prior to trade, what was the opportunity cost to produce 1 hat in Denmark?
A) 1/6 of a clock
B) 2/3 of a clock
C) 1.5 clocks
D) 6 clocks
Answer
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