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Answer :
More rubber was produced in 1981 by 5,321 kg compared to 1988. Malaysia has an absolute advantage in rubber production and a comparative advantage in radio production due to lower opportunity costs.
The student's question asks for a comparison of rubber production in two different years and to calculate the difference in production. To find out in which year more rubber was produced, we must compare the two amounts: 96,493 kg for 1981 and 91,172 kg for 1988. Since 96,493 is greater than 91,172, more rubber was produced in 1981. To determine how much more, we subtract the smaller amount from the larger amount:
96,493 kg - 91,172 kg = 5,321 kg
Therefore, 5,321 kg more rubber was produced in 1981 compared to 1988.
When considering the additional information provided about the production capabilities of workers in Japan and Malaysia, it's notable that Malaysia has an absolute advantage in the production of rubber as one worker can make 10 tons there compared to 5 tons in Japan. To calculate the opportunity cost of producing 80 additional radios, we use the given ratios.
In Japan, the opportunity cost is:
80 Radios = 5 Tons of Rubber
1 Radio = 5/80 Tons of Rubber = 1/16 Tons of Rubber
80 Additional Radios = 80 * 1/16 Tons of Rubber = 5 Tons of Rubber
In Malaysia, the opportunity cost is:
80 Radios = 2 Tons of Rubber
1 Radio = 2/40 Tons of Rubber = 1/20 Tons of Rubber
80 Additional Radios = 80 * 1/20 Tons of Rubber = 4 Tons of Rubber
Since Malaysia gives up less rubber to produce the same amount of radios, it has a comparative advantage in the production of radios.
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