Please Answer 1-8 for question 1 PROBLEM 1 (QUESTIONS 1 TO 8) Table 1Specialisat
ID: 2441052 • Letter: P
Question
Please Answer 1-8 for question 1
PROBLEM 1 (QUESTIONS 1 TO 8) Table 1Specialisation and trade us ours required to harvest one bushel of: eat or corn harvested in a 40-hour week umn Wheat umn Corn umn umn Corn Wheat 40 40 ?? ??? 40 1. Who has an absolute advantage in harvesting wheat from columns 1 and 2 of Table 1? a) Joel; b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 2. Who has an absolute advantage in harvesting com from columns 1 and 2 of the Table 1? a) Joel; b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 3. Who has an absolute advantage in harvesting wheat from columns 3 and 4 of Table 1? a) Joel, b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 4. Who has an absolute advantage in harvesting corn from columns 3 and 4 of Table 1? a) Joel; b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 5. Who has a comparative advantage in harvesting wheat from columns 1 and 2 of Table 1? a) Joel; b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 6. Who has a comparative advantage in harvesting corn from columns 1 and 2 of Table 1? a) Joel; b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 7. Who has a comparative advantage in harvesting wheat from columns 3 and 4 of Table 1? a) Joel; b) Moe; c) Neither Joel nor Moe; d) Both Joel and Moe 8.What are the limits to trade in bushels of corn? ) 0.5W s 1C 2 1W; b) 1W s 1C 2 0.5W; c) 1W s 1C 2 2W; d) None of these answersExplanation / Answer
1. Ans. b) Moe
This is because Moe takes less number of hours ( 1 hour) to harvest 1 Bushelof wheat.
2. Ans. d) Neither Joel nor Moe
This is because both of them take equal number of hours to harvest 1 bushel of corn.
3. Ans. b) Moe
This is because Moe harvests 40 bushels of wheat in a 40 week period.
4. Ans. c) Neither Joel nor Moe
This is because both of them harvest same number of bushels in 40-week period.
5. Ans b) Moe
This is because Moe takes equal time to harvest both Corn and Wheat.
6. Ans. a) Joel
This is because Joel takes 2 hours to harvest Wheat and 1 hour to harvest Corn.
7. Ans. b) Moe
This is because Moe harvests 40 bushels of both Corn and Wheat in 40 week period.
8. Ans. a) 0.5W < 1C > 1W