There are 2 countries, D and F. There are 2 products X and Y. Each country has only a single input labor hours, Li j, where i is D for Domestic or F for Foreign and j is either X for Good X use of the labor or Y for Good Y use of labor. In country D: In country F: Xp = an*LD, X YD = bp*LD, Y XF = ag*LF, X YF = be*LF, Y LF = LF, x+ LF, Y LD = LD, x + LD, Y At. the.moment: ap = 0.25, bp = 0.5, LD = 32, ar = 0.8, be = 0.4, LF = 40. Each country is operating in autarky and has determined to divide its labor force equal between the production of X and Y. In Autarky find complete the following tables: 10. 11. In Autarky with labor divided equally between the production of each good, how much of each is produced and consumed.

There are 2 countries, D and F. There are 2 products X and Y. Each country has only a single input labor hours, Li j, where i is D for Domestic or F for Foreign and j is either X for Good X use of the labor or Y for Good Y use of labor. In country D: In country F: Xp = anLD, X YD = bpLD, Y XF = agLF, X YF = beLF, Y LF = LF, x+ LF, Y LD = LD, x + LD, Y At. the.moment: ap = 0.25, bp = 0.5, LD = 32, ar = 0.8, be = 0.4, LF = 40. Each country is operating in autarky and has determined to divide its labor force equal between the production of X and Y. In Autarky find complete the following tables: 10. 11. In Autarky with labor divided equally between the production of each good, how much of each is produced and consumed.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

A country can produce two goods, X and Y. The maximum possible output of X is 200 and the maximum possible output of Y is 300. If the marginal product of labor in X is 4, what is the marginal product of labor in Y?
Consider two competitive economies that have the same quantities of labor (L = 400) and capital (K = 400), and the same technology (A = 100). The economies of the countries are described by the following Cobb–Douglas production functions: North Economy: Y = A L.3K.7 South Economy: Y = A L.7K.3 In which economy is the real wage larger? Explain.
Consider two neighboring island countries called Euphoria and Bellissima. They each have 4 million labor hours available per week that they can use to produce rye, jeans, or a combination of both. The following table shows the amount of rye or jeans that can be produced using 1 hour of labor. Country Rye Jeans (Bushels per hour of labor) (Pairs per hour of labor) Euphoria 4 16 Bellissima 6 12 Initially, suppose Bellissima uses 1 million hours of labor per week to produce rye and 3 million hours per week to produce jeans, while Euphoria uses 3 million hours of labor per week to produce rye and 1 million hours per week to produce jeans. Consequently, Euphoria produces 12 million bushels of rye and 16 million pairs of jeans, and Bellissima produces 6 million bushels of rye and 36 million pairs of jeans. Assume there are no other countries willing to trade goods, so, in the absence of trade between these two countries, each country consumes the amount of rye and…
5
At low levels of production, marginal productivity of labor increases as labor increases. At high levels of production, marginal productivity of labor decreases as labor increases. Are these two statements contradictory? Explain.
Suppose Industry X employs $1m worth of capital per employee and Industry Y employs $500,000 worth of capital per employee. Economist say that: 000 Industry X is capital intensive compared to Industry Y Industry Y is capital intensive compared to Industry X Industry Y is inefficient. Industry X is inefficient.
Writing in 1776, Adam Smith was concerned not only with the profound effects of the division of labor on productivity (as your textbook notes) but also its stultifying effect on the human capacity. InThe Wealth of Nations, Smith warned that performing a few simple operations over and over again could render any worker, no matter his or her native intelligence, “stupid and ignorant.” a. Does the division of labor in today’s economy continue to have both these effects? b. What are the policy implications? (Radical)
In the graph below, you would prefer to be at point B in this graph rather than point C because it leads to cost of producing the same level of output. Capital 2 H F D A B 56 E Labor с 15 G Output = 20 Output = 10
I need with questions when you do please explain as well
Suppose there exist two imaginary countries, Sequoia and Denall. Their labor forces are each capable of supplying four million hours per week that can be used to produce almonds, shorts, or some combination of the two. The following table shows the amount of almonds or shorts that can be produced by one hour of labor. Almonds Country (Pounds per hour of labor) Sequoia Denall Suppose that initially Denall uses 1 million hours of labor per week to produce almonds and 3 million hours per week to produce shorts, while Sequoia uses 3 million hours of labor per week to produce almonds and 1 million hours per week to produce shorts. As a result, Sequola produces 12 million pounds of almonds and 16 million pairs of shorts, and Denall produces 6 million pounds of almonds and 36 million pairs of shorts. Assume there are no other countries willing to engage in trade, so, in the absence of trade between these two countries, each country consumes the amount of almonds and shorts it produces.…
Assume that quantities do not need to be integers. That is, it is feasible for Andreas to knit 37.25 pairs of mittens. It takes Andreas 3 hours to knit a pair of mittens and 6 hours to knit a scarf. Assuming efficient production, what is the opportunity cost, in terms of pairs of mittens, of Andreas choosing to knit one extra scarf? Enter a number (and only a number, no units) rounded to two decimal places. If your answer is 1.275, enter 1.28.
Consider two neighboring island countries called Bellissima and Felicidad. They each have 4 million labor hours available per week that they can use to produce corn, jeans, or a combination of both. The following table shows the amount of corn or jeans that can be produced using 1 hour of labor. Country Corn Jeans (Bushels per hour of labor) (Pairs per hour of labor) Bellissima 8 16 Felicidad 5 20 Initially, suppose Bellissima uses 1 million hours of labor per week to produce corn and 3 million hours per week to produce jeans, while Felicidad uses 3 million hours of labor per week to produce corn and 1 million hours per week to produce jeans. Consequently, Bellissima produces 8 million bushels of corn and 48 million pairs of jeans, and Felicidad produces 15 million bushels of corn and 20 million pairs of jeans. Assume there are no other countries willing to trade goods, so, in the absence of trade between these two countries, each country consumes the amount…