Craco config for setting alias

Question

Is the below craco.config.js the correct way to add "alias" for a dependency?

const path = require("path");
module.exports = {
  mode: 'production',
  webpack: {
    resolve: {
      alias: {
        "@material-ui/styles": path.resolve("./node_modules/@material-ui/styles"),
      }
    }
  },
  plugins:[
    {
      plugin: require('./config/craco-federation')
    },
  ]
};

Also with mode: 'production', what does it actually map to i.e. is this config taken only for production builds?