Figure 3-15
Perry's Production Possibilities Frontier
Jordan's Production Possibilities Frontier
-Refer to Figure 3-15.Suppose Perry is willing to trade 4 poems to Jordan for each novel that Jordan writes and sends to Perry.Which of the following combinations of novels and poems could Jordan then consume,assuming Jordan specializes in novel production and Perry specializes in poem production?
A)1 novel and 14 poems
B)2 novels and 8 poems
C)3 novels and 6 poems
D)4 novels and 2 poems

Question

Figure 3-15
Perry's Production Possibilities Frontier
Jordan's Production Possibilities Frontier  
-Refer to Figure 3-15.Suppose Perry is willing to trade 4 poems to Jordan for each novel that Jordan writes and sends to Perry.Which of the following combinations of novels and poems could Jordan then consume,assuming Jordan specializes in novel production and Perry specializes in poem production?
A)1 novel and 14 poems 
B)2 novels and 8 poems 
C)3 novels and 6 poems 
D)4 novels and 2 poems

Quizplus · Accepted Answer

If Jordan specializes in novel production and trades with Perry at a rate of 4 poems per novel, then for 2 novels, Jordan would receive 8 poems (2 novels x 4 poems/novel).

Figure 3-15 Perry's Production Possibilities Frontier