An economy has two workers, Bella and Edward. Per day of work, Bella can pick 45 apples or 90 bananas, and Bill can pick 60 apples or 60 bananas. Bella and Edward each work 200 days per year. a. Bella's opportunity cost of picking one more apple is (Click to select) Edward's opportunity cost of picking one more apple is (Click to select) (Click to select) has a comparative advantage in apple picking. (Click to select) has an absolute advantage in apple picking. b. Assuming that only one fruit is picked in this economy, then the maximum number of each type of fruit that can be picked annually is either apples or bananas. c. If each worker fully specializes according to his or her comparative advantage, the maximum number of apples that can be picked annually is and the maximum number of bananas is

An economy has two workers, Bella and Edward. Per day of work, Bella can pick 45 apples or 90 bananas, and Bill can pick 60 apples or 60 bananas. Bella and Edward each work 200 days per year. a. Bella's opportunity cost of picking one more apple is (Click to select) Edward's opportunity cost of picking one more apple is (Click to select) (Click to select) has a comparative advantage in apple picking. (Click to select) has an absolute advantage in apple picking. b. Assuming that only one fruit is picked in this economy, then the maximum number of each type of fruit that can be picked annually is either apples or bananas. c. If each worker fully specializes according to his or her comparative advantage, the maximum number of apples that can be picked annually is and the maximum number of bananas is

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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