Deserted island and consume two products

Assignment Help Microeconomics

Reference no: EM13846877

Robin and Terry are stranded on a deserted island and consume two products, coconuts and fish. In a day, Robin can catch 2 fish or gather 8 coconuts, and Terry can catch 1 fist or gather 1 coconut.

1. Suppose that each person is initially self-sufficient. In a six day week, Robin produces and consumes 32 coconuts and 4 fish, and Terry produces and consumes 4 coconuts and 2 fish.

Now suppose Robin and Terry engage in specialization and exchange, trading 3 coconuts for 1 fish.

If robin and Terry consume the same number of fish as in the self-sufficient outcome, then specialization and exchange allow Robin to consume _____ additional coconuts and Terry to consume ______ additional coconuts.

**Would appreciate if whoever answers this can show me the process to getting the answer**

Reference no: EM13846877

Questions Cloud

What is the effective annual rate bank used : Lloyd Blankfein would like to supplement his low pension paid by his employer Goldman Sacks. His personal banker Jamie Dimon told him that he could pay $1,000 every month for ten years (making 10 × 12 = 120 payments at the end of each month until her..

Prepare summary journal entries in all appropriate funds : Prepare summary journal entries in all appropriate funds. Prepare alternative journal entries to re?ect how the transactions would be recorded in the township'sgovernment-wide statements.

Ratios measures operating performance and source of cash : Which of the following is a source of cash? Information that can make a difference to the decision at hand is considered to be. Which of the following increases cash. Which of the following ratios measures operating performance?

Write about alcoholic anonymous meeting : It is an Experiential Paper, Write about Alcoholic Anonymous meeting. You will be an observer. Story can be made up

Deserted island and consume two products : Robin and Terry are stranded on a deserted island and consume two products, coconuts and fish. In a day, Robin can catch 2 fish or gather 8 coconuts, and Terry can catch 1 fist or gather 1 coconut. 1. Suppose that each person is initially self-suffi..

How would the cognitive restructuring theory help tom : How would the cognitive restructuring theory help Tom from the scenario above in handling his excessive anger? Explain - What are the steps that he should take to control his anger? Explain and be specific.

Compute the annual rate on the real bond : The price of a 10-year $100 par zero coupon inflation-indexed bond is $84.49 a real-estate property is expected to yield 2% per quarter (nominal) with a SD of the (effective) quarterly rate of 10%. compute the annual rate on the real bond.

Phineas likes tea and licorice : Phineas likes tea and licorice. He bdrinks two ounces of tea for each ounce of licorice he eats. Tea costs PT per ounce, while licorice costs PL per ounce. If T denotes Phineas' consumption of tea and L denotes his consumption of licorice, write down..

Saving for new tractor and annual interest rate : Charles Hess is saving for a new tractor. The cost is $75,000. How much must he invest at a 4% annual interest rate to have $75,000 in six years? Round to the nearest dollar.

User Account

All Pages