Hi, I am needing help with "b." The table below presents the production possibilities schedules for the cities of Venice and Florence, each of which produces pastaand wine.Production Possibilities Schedules for Venice and FlorenceFlorenceVenicePastaWine(bottles)(pounds)5002520040Instructions: In parts b and d, round your answers to two decimal places.a. What is Venice's opportunity cost of producing one pound of pasta?Pasta(pounds)40200Wine(bottles)04080O 1.25 bottle(s) of wine0.5 bottle(s) of wine0.8 bottle(s) of wine2 bottle(s) of wineb. What is Venice's opportunity cost of producing one bottle of wine?pound(s) of pastac. What is Florence's opportunity cost of producing one pound of pasta?O 1.25 bottle(s) of wine0.8 bottle(s) of wineO2 bottle(s) of wineO 0.5 bottle(s) of wined. What is Florence's opportunity cost of producing one bottle of wine?pound(s) of pasta

Opportunity cost is the cost that is given in order to obtain more of a desired good. When a choice…

The table below presents the production possibilities schedules for the cities of Venice and Florence, each of which produces pasta and wine. Production Possibilities Schedules for Venice and Florence Florence Venice Pasta (pounds) 50 25 Wine (bottles) 0 20 40 Pasta (pounds) 40 20 0 Wine (bottles) 0 40 80 0 Instructions: In parts b and d, round your answers to two decimal places. a. What is Venice's opportunity cost of producing one pound of pasta?

The table below presents the production possibilities schedules for the cities of Venice and Florence, each of which produces pasta and wine. Production Possibilities Schedules for Venice and Florence Florence Venice Pasta (pounds) 50 25 Wine (bottles) 0 20 40 Pasta (pounds) 40 20 0 Wine (bottles) 0 40 80 0 Instructions: In parts b and d, round your answers to two decimal places. a. What is Venice's opportunity cost of producing one pound of pasta?

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter3: Interdependence And The Gains From Trade

Section: Chapter Questions

Problem 2PA

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Review the numbers for Canada and Venezuela from Table 33.12 which describes how many barrels of oil and tons of lumber the workers can produce. Use these numbers to answer the rest of this question. Draw a production possibilities frontier for each country. Assume there are 100 workers in each country. Canadians and Venezuelans desire both oil and lumber. Canadians want at least 2,000 tons of lumber. Mark a point on their production possibilities where they can get at least 3,000 tons. Assume that the Canadians specialize completely because they figured out they have a comparative advantage in lumber. They are willing to give up 1,000 tons of lumber. How much oil should they ask for in return for this lumber to be as well off as they were with no trade? How much should they ask for if they want to gain from trading with Venezuela? Note: We can think of this ask as the relative price or trade price of lumber. Is the Canadian ask you identified in (b) also beneficial for Venezuelans? Use the production possibilities frontier graph for Venezuela to show that Venezuelans can gain from trade.
Table 33.15 shows how the average costs of production for semiconductors (the chips In computer memories) change as the quantity of semiconductors built at that factory increases. Based on these data, sketch a curve with quantity produced on the horizontal axis and average cost of production on the vertical axis. How does the curve illustrate economies of scale? If the equilibrium quantity of semiconductors demanded is 90,000, can this economy take full advantage of economies of scale? What about if quantity demanded is 70,000 semiconductors? 50,000 semiconductors? 30,000 semiconductors? Explain how international trade could make it possible for even a small economy to take full advantage of economies of scale, while also benefiting from competition and the variety offered by several producers.
scenario Production Advantage and Opportunity CostsAssume there are two countries, the United States and France, and two goods, automobiles andcomputers.The table presented below shows the number of automobiles and computers that the United States andFrance can produce with the same amount of resources.United States FranceAutomobiles 120 100Computers 60 55Source: Pearson Education Inc. 1.1 Which country has an absolute advantage in computer production? Motivate your answer.1.2 Which country has a comparative advantage in the production of automobiles? Motivateyour answer. 1.3 Assume these countries trade with one another under the conditions of free trade. Whichcountry will specialise in the production of automobiles? Motivate your answer. 1.4 If free trade exists between the United States and France, what are the highest and lowestlevels for the price of an automobile (expressed in terms of computers)? Motivate youranswer by stating which level favours the United States and France.
The table below presents the production possibilities schedules for the cities of Venice and Florence, each of which produces pasta and wine. Production Possibilities Schedules for Venice and Florence Florence Venice Pasta Wine (bottles) (pounds) 50 0 25 20 0 40 Instructions: In parts b and d, round your answers to two decimal places. a. What is Venice's opportunity cost of producing one pound of pasta? O2 bottle(s) of wine Pasta (pounds) 40 20 0 Wine (bottles) 0 40 80 0.5 bottle(s) of wine O125 bottle(s) of wine O 0.8 bottle(s) of wine b. What is Venice's opportunity cost of producing one bottle of wine? E D pound(s) of pasta c. What is Florence's opportunity cost of producing one pound of pasta? O2 bottle(s) of wine O 0.5 bottle(s) of wine O 0.8 bottle(s) of wine O125 bottle(s) of wine d. What is Florence's opportunity cost of producing one bottle of wine? pound(s) of pasta e. (Click to select) has the comparative advantage in producing pasta and (Click to select) has the comparative…
Table 3-1 Farmer Rancher Labour hours needed to make 1 kilogram: Meat 9 3 Potatoes 3 4 Kilograms produced in 36 hours: Meat 4 12 Refer to Table 3-1. What does each producer have an absolute or comparative advantage in? Potatoes 12 9 The farmer has an absolute advantage in potatoes, and the rancher has a comparative advantage in meat. The farmer has an absolute advantage in meat, and the rancher has a comparative advantage in potatoes. The farmer has an absolute advantage in neither good, and the rancher has a comparative advantage in potatoes. The farmer has an absolute advantage in neither good, and the rancher has a comparative advantage in meat.
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