Which planet has the comparative advantage in coffee

Assignment Help Business Economics
Reference no: EM13214892

Suppose there are only two planets in the universe Zenope and Zuranda. On each planet its inhabitants consume two products--coffee and fried chicken. Each planet has an equal population. producing soley coffee, Zenope can produce 50 units of coffee, while Zuranda can produce 80 units of coffee. Producing solely fried chicken, Zenope can produce 25 units while Zuranda can produce 30 units.

(a) which planet has the absolute advantage in coffee? In fried chicken?
(b) which planet has the comparative advantage in coffee? in fried chicken?

 

Reference no: EM13214892

Questions Cloud

Outline the policy-making process : Outline the policy-making process in the United States. Give examples of how the process works at each stage.
Discuss the stability of the country currency : Discuss the stability of the country's currency on the foreign exchange market. Has the value of the U.S. dollar impacted the selected countries' currency value?
Public opinion is made : Public opinion is made known through all of the following EXCEPT
What is the future value of the following cash flows : If today is Year 0, what is the future value of the following cash flows 10 years from now? Assume an interest rate of 6.9 percent per year.
Which planet has the comparative advantage in coffee : which planet has the comparative advantage in coffee? in fried chicken?
Why installment will be due from property owners : four months prior to year-end, 6 percent special assessment bonds totaling $500,000 were issued to fund a streetlight improvement project in a local subdivision. the bonds are secondarily backed by the village. the first $25,000 installment will be..
''neoindians'' the earliest people in the caribbean region : How accurate is it to assert that regardless of a name change to 'Neoindians' the earliest people in the Caribbean region still remain Caribs and Arawaks?
Compare the total costs in parts a and b : Compare the total costs in parts a and b. If the government does not know the cost of pollution reduction for each firm, is there still some way to reduce pollution to 50 tonnes at the total cost calculated in part a?
Describe the responsibilities of judges : Describe the responsibilities of judges. Identify attributes of both effective and ineffective judges. Provide an example of an effective and an ineffective Supreme Court judge.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd