Figure 1 shows the PPF for an economy that produces Food and Clothes. Which of the following production bundles is feasible and efficient? A) 50 Food and 360 Clothes       B) 170 Food and 144 Clothes       C) 320 Food and 48 Clothes       D) 440 Food and 144 Clothes

John is trying to decide how to divide his time between his job as a stocker in the local grocery store, which pays $7 per hour for as many hours as he chooses to work, and cleaning windows for the businesses downtown. He makes $2 for every window he cleans. John is indifferent between the two tasks, and the number of windows he can clean depends on how many hours he spends cleaning in a day, as shown in the table below: Hours Per Day Cleaning Windows 0 1 2 3 4 5 $2 What is the lowest price per window that John would be willing to accept to spend 4 hours per day cleaning windows? $11 $3.50 $7 32 Total Number of Windows Cleaned 0 7 11 14 16 17 |||

12:39 X To edit and save, sign in with a subscription. Sign in 1. Plot the following combinations of Good X and Good Y in a single graph and construct the consumption possibilities line: Combinations A B с D E F G H Good X 21 18 15 12 Combination 1 Combination 2 9 6 3 0 A. What is the rate of exchange between Good X and Good Y? B. Supposing your original choice is combination D but you changed your mind. Show in the above graph an example of an opportunity cost where you give up combination D in favor of a new combination. Combination Combination 2. Supposing the extreme combinations of Good X and Good Y which can be consumed on a given budget are given as follows: Good X 20 0 Good Y 0 1 2 3 4 5 6 7 694 Good Y 0 50 Construct a graph showing the consumption possibilities line. Explain the relationship depicted by this line. Good B 0 50 3. Supposing the extreme combinations which can be produced of Good A and Good B with a given resources are given as follows: Good A 200 0 Construct a…

G, 2  Economics