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Fynjy0 [20]
3 years ago
14

Assume that Brian and Tabitha can switch between producing apples and producing pork at a constant rate.

Business
1 answer:
Digiron [165]3 years ago
7 0

Answer: c. 12 bushels of apples and 12 pounds of pork

Explanation:

Brian Opportunity costs

Bushel of Apple = 12/10 = 1.2 pounds of pork

Pounds of Pork = 10/12 = 0.83 bushels of apple

Tabitha opportunity cost

Bushel of apple = 10 / 6 = 1.67 pounds of pork

Pound of pork = 6/10 = 0.6 bushels of apple.

Brian has comparative advantage in Apple production

Tabitha has comparative advantage in Pork production

Brian focuses on apple and makes 1 bushel every 10 minutes. In 120 minutes he will make:

= 120/10

= 12 bushels of apples

Tabitha makes 1 pound of pork every 10 minutes as well:

= 120/10

= 12 pounds of pork

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