Suppose that a worker in Country A can make either 10 iPods or 5 tablets each year.Country A has 100 workers.Suppose a worker in Country B can make either 2 iPods or 10 tablets each year.Country B has 200 workers.A bundle of goods that Country A could potentially make would be:
A) (500 iPods, 500 tablets).
B) (500 iPods, 400 tablets).
C) (500 iPods, 300 tablets).
D) (500 iPods, 200 tablets).

Question

Quizplus · Accepted Answer

Country A has 100 workers, each capable of making either 10 iPods or 5 tablets. To make 500 iPods, all 100 workers would need to produce iPods, leaving no workers to produce tablets. Alternatively, if they produce 200 tablets, they would use all their resources, as 100 workers making 5 tablets each results in 500 tablets. Thus, the bundle (500 iPods, 200 tablets) is feasible.

Suppose That a Worker in Country a Can Make Either