research-writing-services
4.8
research-writing-services
4.9
research-writing-services
4.7

opportunity costs

Suppose an hour s labour produces 10 kg of rice and 5 meter of cloth in India, and 5 kg and 2 meter in Thailand. Using opportunity costs, explain which country will export cloth and which will export rice in trade? (10 marks)
Question 2
Suppose Mike and Johnson produce two products-hamburgers and T-shirts. Mike produces 10 hamburgers or 3 T-shirts a day and Johnson produces 7 hamburgers or 4 T-shirts. Assuming they can devote time in making either hamburgers or T-shirts
a. Draw the production possibility curve (2.5 marks)b. Who enjoys the absolute advantage of producing both? (2.5 marks)c. Who has higher opportunity cost of making T-shirts? (2.5 marks)d. Who has a comparative advantage in producing hamburgers? (2.5 marks)Question 3Consider two countries (Home and Foreign) that produce goods 1 (with labour and capital) and 2 (with labour and land) according to the production functions listed below (Table 1 and Table 2). Initially, both countries have the same supply of labour (100 units each), capital, and land. The capital stock in Home then grows. This change shifts out both the production curve for good 1 as a function of labour employed (Table 1) and the associated marginal product of labour curve (Table 2). Nothing happens to the production and marginal curves for good 2.
a. Show how the increase in the supply of capital for Home affects its production possibility frontier. (2.5 Marks)b. On the same graph, draw the relative supply curve for both the Home and the Foreign economy. (2.5 marks)c. If those two economies open up to trade, what will be the pattern of trade (i.e., which country exports which good)? (2.5 Marks)d. Describe how opening up to trade affects all free factors (labour, capital, land) in both countries. (2.5 marks)

Related Posts

Quality Writing Features

Price Start $10
  • 24/7 Customer Support
  • All Subject Areas
  • Money-Back Guarantee
  • Timely Delivery
  • Originality report
  • Confidentiality guaranteed

Ordering Homework Writing Service

You can get our ideal online homework help services with four easy steps. All you have to do is inform us of your requirements. Immediately we will match with a specialist in your academic discipline. After that, we will track your order, review it to ensure it meets your requirements, and submit it to your email.

research-writing-services

Submit Requirements

Fill in your assignment instructions on the order form

research-writing-services

Writer match

Immediately you contact us for homework help; we will assign your assignment to an academic expert.

research-writing-services

Quality review

We have a team of editors, who will thoroughly review your assignment, ensuring there are no errors before submission

research-writing-services

Get Your Completed Paper

Once we have completed the assignment, we will deliver it to your account. Additionally, we will send a notification to your email.

ordernow

Affordable

Budget-friendly writing services

ordernow

Privacy

We don’t share our client’s information with a third party

ordernow

Unique

We write every assignment from scratch

Amazing Homework Writing Features

Once you consult us for homework help online services, you will attest to why we are among the USA's best essay writing services.

Read on and find out some of the features that make our services superlative.

Free Homework Writing Services

Free plagiarism checker

You can confirm that the content you get is original for free using our plagiarism checker.

Free samples

We offer unlimited access to our essay homework samples.

Free title page and bibliography

Once you place an order, we format it accordingly without demanding additional charges.

Free unlimited revisions

We offer free unlimited revisions until your assignment is of your desired quality..

Free editing and proofreading

We have a team of specialized editors who review your assignment before submission.

Free customer support

You can track the progress of your homework for free.

Request for Homework Writing Service Today!

We have over 500 homework writing experts, ready and waiting to help you improve your writing skills