What is the maximum amount of corn

Assignment Help Econometrics

Reference no: EM13208858

Assume Nebraska and Virginia each have 100 acres of farmland. The following table gives hypothetical figures for yield per acre in the two states:

Nebraska Virginia
Wheat 9 5
Corn 7 2

A)Who has the absolute advantage in the production of wheat?

Who has the absolute advantage in the production of corn?

Who has the comparative advantage in the production of wheat?

Who has the comparative advantage in the production of corn?

B) Suppose the two states decide that they want to produce 590 units of wheat together (not 590 units of wheat each). What is the maximum amount of corn that they could produce?

C) Draw the graph of the PPC for each state, and then draw the graph for the PPC of the two states combined. On each graph, put the quantity of wheat on the vertical axis, and the quantity of corn on the horizontal axis. Be sure to label your graph carefully to receive full credit!

Reference no: EM13208858

Questions Cloud

What amount would the two transactions add : The retailer, in turn, brings in $160,000 from selling the bulbs directly to final customers. What amount would these two transactions add to personal consumption expenditures and thus to GDP during the year

Describe an algorithm for a turing machine : Describe an algorithm for a Turing machine which receives the integer n as input and proceeds to write the description of the n-th Turing machine from the standard enumeration on its tape.

Compute the new vapor pressure of iodine : Calculate the new vapor pressure of iodine at the same temperature when 100 bar of He gas is added to the container in which the iodine is held.

State an equation showing the stereochemistry : Write an equation, clearly showing the stereochemistry of the starting material and the product, for the reaction of (S)-1-bromo-2-methylbutane with sodium iodide in acetone.

What is the maximum amount of corn : the PPC for each state, and then draw the graph for the PPC of the two states combined. On each graph, put the quantity of wheat on the vertical axis, and the quantity of corn on the horizontal axis. Be sure to label your graph carefully to receiv..

Explain methyl-pentane with nacn and agcn : Draw all products of the reactions of 4-Chloro-2-methyl-pentane with NaCN and AgCN. Identify the reaction mechanisms and draw resonance

Explain methyl-propane as the major product : The reaction of 2,2-dimethyl-1-propanol with HBr is very slow and gives 2-bromo-2-methyl-propane as the major product.

How the organic apples is perfectly competitive : "Between 1997 and 2001, many apple farmers switched from traditional to organic growing methods, increasing production of organically grown apples from 1.2 million boxes per year to more than 3 million boxes."

Explain oxidation-reduction reaction to occur : When electricity (the flow of electrons) is passed through a solution, it causes an oxidation-reduction (redox) reaction to occur. If the solution contains a metal cation such as Ag

User Account

All Pages