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Q. Assume that a country's construction possibilities are Food (kilogram per month) Sunscreen (Liters per month)300 0200 50100 1000 150
a. Draw a graph of the country's PPF also Elucidate how your graph illustrates a tradeoff.
b. If the country produces 150 kilograms of food per month, how much sunscreen must it manufacture to achieve construction efficiency?
c. Compute the opportunity cost of producing 1 kilogram of food also the opportunity cost of producing 1 liter of sunscreen?
d. Illustrate what is the relationship among the opportunity costs in your answer to c?
e. Does the country face an increasing opportunity cost of food? Illustrate what feature of a PPF illustrates increasing opportunity cost also Elucidate why does your PPF not have this feature?
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