Homer and Teddy Are Stranded on a Desert Island

question 35

Multiple Choice

Homer and Teddy are stranded on a desert island. To feed themselves each day they can either catch fish or pick fruit. In a day, Teddy could pick 60 pieces of fruit or catch 20 fish. Homer could pick 100 pieces of fruit or catch 150 fish. Which of the following is CORRECT?

• A) Homer has a comparative advantage in catching fish and Teddy has a comparative advantage in picking fruit.
• B) Homer has a comparative advantage in picking fruit and Teddy has a comparative advantage in catching fish.
• C) Homer has a comparative advantage in both catching fish and picking fruit.
• D) Teddy has a comparative advantage in both catching fish and picking fruit.

Comprehend how changes in wealth and wages affect labor supply curves.

Identify factors that do not shift the labor supply curve.

Understand the concept of substitution and income effects in the context of labor supply.

Grasp the impact of market forces and personal preferences on labor market outcomes.

---

Definitions:

Fears

Emotional responses to perceived threats or dangers, which are a fundamental aspect of human psychology influencing behavior and decision-making.

Phobias

Intense, irrational fears of specific objects or situations that significantly interfere with an individual's ability to function.

Modeling Techniques

Methods used in behavioral psychology to learn through the observation of others, imitating their actions.

Filmed Models

A method in psychology used to demonstrate certain behaviors or techniques through videotaped sequences.