Macroeconomics
13th Edition
ISBN: 9780134744452
Author: PARKIN, Michael
Publisher: Pearson,
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Question
Chapter 2, Problem 19APA
(a)
To determine
Draw the graph of K’s
(b)
To determine
Identify the specialization level in the PPF.
(c)
To determine
Identify the total
(d)
To determine
Identify the value of share of total gains from the trade between K and L.
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Elif can produce 6 pies or 30cakes in 1 hour. Ahmet can produce 10 pies or 20 cakes in 1 hour.
On the PPF lines, show what Elif produces and what Ahmet produces when they specialize.
When they specialize and trade, what are the total gains from trade?
If Elif and Ahmet share the total gains equally, which quantities of pies and cakes do they trade?
Draw the following graphs below depicting the following information:
Graph 1: Trinbago's PPF
Horizontal axis: Wine production
Vertical axis: Motor vehicle production
The PPF shows the trade-off between producing wine and motor vehicles in Trinbago. It slopes downward due to the opportunity cost of producing one good in terms of the other.
Graph 2: Vincyland's PPF
Horizontal axis: Wine production
Vertical axis: Motor vehicle production
The PPF shows the trade-off between producing wine and motor vehicles in Vincyland. It also slopes downward due to the opportunity cost.
Graph 3: Comparative Advantage
Horizontal axis: Wine production
Vertical axis: Motor vehicle production
The graph shows the production possibilities for Trinbago and Vincyland and illustrates their comparative advantage based on the slopes of their PPFs. Trinbago will have a comparative advantage in motor vehicle production, while Vincyland will have a comparative advantage in wine production.
Graph 4: Trade…
5. Tony and Patty produce skis and snowboards. The tables show their production possibilities.
I attached the Tables! please see the attachments for tables.
d. Draw Tony’s and Patty’s PPF (on separate graphs).
e. With specialization who will produce Skiis? Snowboards?
f. If they trade 10 snowboards for 10 skiis what are the gains from trade?
Chapter 2 Solutions
Macroeconomics
Ch. 2.1 - Prob. 1RQCh. 2.1 - Prob. 2RQCh. 2.1 - Prob. 3RQCh. 2.1 - Prob. 4RQCh. 2.1 - Prob. 5RQCh. 2.1 - Prob. 6RQCh. 2.2 - Prob. 1RQCh. 2.2 - Prob. 2RQCh. 2.2 - Prob. 3RQCh. 2.2 - Prob. 4RQ
Ch. 2.2 - Prob. 5RQCh. 2.3 - Prob. 1RQCh. 2.3 - Prob. 2RQCh. 2.3 - Prob. 3RQCh. 2.3 - Prob. 4RQCh. 2.3 - Prob. 5RQCh. 2.3 - Prob. 6RQCh. 2.3 - Prob. 7RQCh. 2.4 - Prob. 1RQCh. 2.4 - Prob. 2RQCh. 2.4 - Prob. 3RQCh. 2.4 - Prob. 4RQCh. 2.4 - Prob. 5RQCh. 2.4 - Prob. 6RQCh. 2.4 - Prob. 7RQCh. 2.5 - Prob. 1RQCh. 2.5 - Prob. 2RQCh. 2.5 - Prob. 3RQCh. 2 - Prob. 1SPACh. 2 - Prob. 2SPACh. 2 - Prob. 3SPACh. 2 - Prob. 4SPACh. 2 - Prob. 5SPACh. 2 - Prob. 6SPACh. 2 - Prob. 7SPACh. 2 - Prob. 8SPACh. 2 - Prob. 9SPACh. 2 - Prob. 10SPACh. 2 - Prob. 11APACh. 2 - Prob. 12APACh. 2 - Prob. 13APACh. 2 - Prob. 14APACh. 2 - Prob. 15APACh. 2 - Prob. 16APACh. 2 - Prob. 17APACh. 2 - Prob. 18APACh. 2 - Prob. 19APACh. 2 - Prob. 20APACh. 2 - Prob. 21APACh. 2 - Prob. 22APACh. 2 - Prob. 23APACh. 2 - Prob. 24APACh. 2 - Prob. 25APA
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