2. During the day Deborah can either clean 20 carpets or wash 40 cars. Draw herproduction possibility frontier. How would it change if we look at 2 days? If shecleans 10 carpets instead of 20?3. Choose a country (Not US) and find 5 examples of Comparative and Absoluteadvantages.

We will solve the first question only. The second question is subjective in nature, which we do not…

Answered: 2. During the day Deborah can either…

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter3: Interdependence And The Gains Rrom Trade

Section3.2: Comparative Advantage: The Driving Force Of Specialization

Problem 2QQ

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The following table shows the amount of days to produce one unit of beans or one unit of planes. Use the information to match the person with the advantages that follow. Вeans Planes Alpha 50 9 Beta 5 7 Has the absolute advantage in planes Has the absolute advantage in beans 1. Alpha Has the comparative advantage in planes 2. Beta Has the comparative advantage in beans > > >
wine 90 80 70 60 50. D012 mani 40 30 20 10 PPF Portugal (c) 1 bome of (0)2 bottles of sine (0)3 bottles of wine CPF of t 0 10 20 30 40 50 60 cloth 11. What is the elave price opportunity cost of col in England, betere trade beges? A) 1/2 yard of cloth wine 90 80 70 60 50 40 30 20 10 England PPF CPF 0 10 20 30 40 50 60 cloth
Robinson Crusoe can gather 10 coconuts or catch 1 fish per hour. Hs friend Friday can gather 30 coconuts or catch 2 fish per hour. What is QuickQuiz Crusoe's opportunity cost of catching 1 fish? What is Friday's? Who has an absolute advan- tage in catching fish? Who has a comparative advantage in catching fish?
ONLY D AND E 20. Muriel and Edgar each have 30 labor hours available per week to knit hats and scarves. In 30 hours, Muriel can knit 6 hats or 4 scarves. In the same amount of time, Edgar can knit 3 hats or 5 scarves. a. Draw the production possibilities frontiers for Muriel and Edgar, with scarves on the x-axis. b. Who has the absolute advantage in scarf production? In hat production? c. Find Muriel’s and Edgar’s opportunity cost of producing hats in terms of scarves. Who has a comparative advantage? d. Find Muriel’s and Edgar’s opportunity cost of producing scarves in terms of hats. Who has a comparative advantage? e. Muriel and Edgar are now aware of their comparative advantages and decide to trade. For what price of hats (in terms of scarves) will trade occur? Explain.
What is comparative advantage?
Could a nation be producing in a way that is allocatively efficient, but productively inefficient?
Residents of the town of Smithfield like to consume hams, but each ham requires 10 people to produce it and takes a month. If the town has a total of 100 people, what is the maximum amount ham the residents can consume in a month?
Give typing answer with explanation and conclusion
Use le below to answer the following questions. Table 2.1.1 The following table gives points on the production possibilities frontier for goods X and Y. Point Production of X Production of Y 40 B 4. 36 28 12 16 E 16 The data in Table 2.1.1 illustrate that Select one: A. the producer has a comparative advantage in the production of X. B. the producer has a comparative advantage in the production of Y. C. the opportunity cost of producing an additional unit of Y increases as the production of Y increases. O D. the opportunity cost of producing an additional unit of Y is constant as the production of X increases. O E. the opportunity cost of producing an additional unit of Y decreases as the production of Y increases. Clear my choice
d Vew Htory Bools OPFRO TOR PM 3. Using the data in the accompanying table, answer the fol- lowing questions: Canoda Italy Points on Production Possibilities Frontier Good X Good Y Good X Good Y A. 150 100 25 60 50 50 120 75 180 a. For which good does Canada have a comparative advantage? b. For which good does Italy have a comparative advantage? c. What might be a set of favorable terms of trade for the two countries? d. Prove that both countries would be better off in the specialization- trade case than in the no-specialization-no-trade case. of two Natons. shift Good XGon OPP cost 0888 888
QUESTION 9 If Pedro can produce more bread in one day than Roger can produce in one day, then а. Pedro has a comparative advantage in the production of bread. b. Roger has a comparative advantage in the production of bread. C. Pedro has an absolute advantage in the production of bread. d. Roger has an absolute advantage in the production of bread. a d. QUESTION 10 the equilibrium price decreases, and the equilibrium quantity increases the equilibrium price increases, and the effect of quantity is ambiguous the equilibrium price increases, and the equilibrium quantity increases the equilibrium price decreases, and the equilibrium quantity decreases If the demand of soccer balls increases, then a. b. C. d. O a O b O O O O
The United States exports corn and aircraft tothe rest of the world, and it imports oil andclothing from the rest of the world. Do youthink this pattern of trade is consistent with theprinciple of comparative advantage? Why orwhy not?

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2. During the day Deborah can either clean 20 carpets or wash 40 cars. Draw her production possibility frontier. How would it change if we look at 2 days? If she cleans 10 carpets instead of 20? 3. Choose a country (Not US) and find 5 examples of Comparative and Absolute advantages.