American and Japanese workers can each produce 4 cars a year. An American worker can produce 10 tons of grain a year, whereas a Japanese worker can produce 5 tons of grain a year. To keep things simple, assume that each country has 100 million workers.
a. Graph the production possibilities frontiers for the American and Japanese economies.
b. Which country has an absolute advantage in producing cars? In producing grain?
c. Which country has a comparative advantage in producing cars? In producing grain?
d. Without trade, half of each country’s workers produce cars and half produce grain. What quantities of cars and grain does each country produce?
e. Starting from a position without trade, give an example in which trade makes each country better off.
Abraham and Sarai enter into a contract in which Abraham agrees to pay Sarai $40 to collect his mail while he is on a month-long vacation. Sarai then delegates the duty t...Aug 24 2020
A computer system queues up batch jobs and processes them on an FCFS basis. Between 2 and 5 P.M., jobs arrive at an average rate of 30 per hour and require an average of ...Jul 28 2020
Russell (age 50) and Linda (age 45) Long have brought you the following information regarding their income and expenses for the current year. Russell owns and operates a ...May 18 2020
The 2010 HCA 10K report is located within the Securities Exchange Commission at the following Web site: http://www.sec.gov/Archives/edgar/data/860730/000095012311015233/...Nov 25 2019
The balance sheet of Phototec, Inc., a distributor of photographic supplies, as of May 31 is given below:The company is in the process of preparing a budget for June and ...Jun 29 2020
How do I solve this problem?Sep 09 2020
Based on its physical count of inventory in its warehouse at year-end, December 31, 2014, Madison Company planned to report inventory of $34,300. During the audit, the in...May 12 2020
Assume the current U.S. dollar-British spot rate is 0.6134£/$. If the current nominal one-year interest rate in the U.S. is 2.5% and the comparable rate in Britain is 3...Apr 19 2021
Flint Company acquires a delivery truck at a cost of $48,000. The truck is expected to have a salvage value of $11,000 at the end of its 10-year useful life.Compute annua...Sep 02 2020
Write the valence shell electron configuration of each of the following elements, basing your answer on the element's location in the periodic table.rubidium, Z =37 c. ti...Jun 13 2021