What Are the Limitations of the Graphical Method of Linear

question 9

Essay

What are the limitations of the graphical method of linear programming?

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Definitions:

Consumer Surplus

The contrast between the potential payment by consumers for a product or service and their real expenditure.

Autarky

An economic system or policy of self-sufficiency where a country does not engage in international trade.

International Trade

International Trade encompasses the exchange of goods, services, and capital across international borders, benefiting countries through specialization and trade.

Producer Surplus

The difference between what producers are willing to accept for a good versus what they actually receive, often depicted as an area on a graph.