Suppose That Lo and Manuel Can Either Run Errands or Wash

question 96

Multiple Choice

Suppose that Lo and Manuel can either run errands or wash dishes.Their maximum outputs per hour are listed in the following table.Given the same quantity of resources,at what terms of trade (relative price ratio) could they specialize and trade so that both consume outside their own production possibilities frontiers (PPFs) ?

• A) 1 errand run per 75 dishes washed
• B) 1 errand run per 30 dishes washed
• C) 1 errand run per 12 dishes washed
• D) 1 errand run per 10 dishes washed
• E) 1 errand run per 6 dishes washed

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Definitions:

Public Mall

An open area or a public space usually located within urban settings, used for community gatherings, shopping, or leisure activities.

Trespass

An unlawful act of entering someone else's property without permission.

Land

Land refers to the part of the earth's surface that is not covered by water, including fields, forests, and cities, and can be privately or publicly owned.

Trespass To Land

An unauthorized, intentional intrusion upon or direct breach of the boundaries of another’s land.