Determine he combined production of fiber optic cable , Microeconomics

Assignment Help:

Graph the following example and answer the questions: The United States and Japan only produce two goods. They have the same fixed resources and they are equally efficient, and both countries have constant opportunity costs between the two goods. In one month, the United States can make 200,000 units of fiber optic cable or 600,000 flash drives. Japan can produce 300,000 units of fiber optic cable or 600,000 flash drives.

Who has the Absolute Advantage in the production of Flash Drives?
Who has the Absolute Advantage in the production of Fiber Optic Cable?
What is the opportunity cost for the USA for Flash Drives?
What is the opportunity cost for the USA for Fiber Optic Cable?
What is the opportunity cost for Japan for Flash Drives?
What is the opportunity cost for Japan for Fiber Optic Cable?

**If both countries devote 50% of their resources to the production of both goods...

...what would the USA's production of Flash Drives be?
...what would the USA's production of Fiber Optic Cable be?
...what would Japan's production of Flash Drives be?
...what would Japan's production of Fiber Optic Cable be?
...what would the combined production of Flash Drives be?
...what would the combined production of Fiber Optic Cable be?

**If the two nations each specialize where they have a comparative advantage...

...what would the USA's produce, and how much?
...what would Japan's produce and how much?
...what would the combined production of Flash Drives be?
...what would the combined production of Fiber Optic Cable be?

**Compared to when each nation was producing both goods...

...what would the combined production of Flash Drives be?
...what would the combined production of Fiber Optic Cable be?
Would these nations enter a trade agreement?
Why or why not?

Related Discussions:- Determine he combined production of fiber optic cable

Economic Question , 4) The prevention of major swings in economic activity ...

4) The prevention of major swings in economic activity can be handled most easily by the A. household sector B. business sector C. financial sector

Explain the difference between a stock and a flow, Explain the difference b...

Explain the difference between a stock and a flow. A stock is something whose quantity is calculated at a point in time, whereas a flow measures the quantity of something ove

Demand and price, examples of quantity demand when prices increase

examples of quantity demand when prices increase

Long term microeconomics, Igora''s pizzeria want to know if it should stay ...

Igora''s pizzeria want to know if it should stay open this spring. Total Revenue will be $ 12,000 per week and Total Cost will be $ 18,000 per week. The fixed cost of running the b

Avogadro''s hypothesis, AVOGADRO''S HYPOTHESIS In equal volumes of gases i...

AVOGADRO''S HYPOTHESIS In equal volumes of gases including all under similar conditions of temperature & pressure keeps equal number of molecules. Avogadro''s law and Applicatio

Labour supply, Labour Supply:Total number of workers available and willing ...

Labour Supply:Total number of workers available and willing to work in a paid position; generally measured by the labour force(even though the labour force usually excludes many wo

What are the differentiated conditions of economic issue, What are the diff...

What are the differentiated conditions of economic issue? While discussing an economic issue, this is very important to differentiate between: (a) Two types of conditions: e

Alternative theories of firm, critical evaluation of marginal analysis

critical evaluation of marginal analysis

Is economic development is based on goverment, Is economic development is b...

Is economic development is based on goverment Many governments--mainly unelected governments-aren't that interested in economic development. Giving valuable industrial franchis

Define the concepts price elasticity of demand, Question 1: Define the ...

Question 1: Define the concepts price elasticity of demand, income elasticity of demand and cross elasticity of demand and explain how these concepts can be useful to the man

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages