Suppose That Dwight and Jim Can Either Make Salads or Grill

question 50

Multiple Choice

Suppose that Dwight and Jim can either make salads or grill steaks. Their maximum output per hour is 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 frontier (PPF) ? $$\begin{array} { | l | l | l | l | l | } \hline & \begin{array} { l } \text { Maximum } \\\text { Number of } \\\text { Salads }\end{array} & \begin{array} { l } \text { Opportunity } \\\text { Cost of 1 } \\\text { Salad }\end{array} & \begin{array} { l } \text { Maximum } \\\text { Number of } \\\text { Steaks }\end{array} & \begin{array} { l } \text { Omportumity } \\\text { Cost of 1 } \\\text { Steak }\end{array} \\\hline \text { Dwight } & 9 & 1 / 3 \text { steak } & 3 & 3 \text { salads } \\\hline \mathrm { Jim } & 12 & 1 / 2 \text { steak } & 6 & 2 \text { salads } \\\hline\end{array}$$

• A) 1 salad per 1 steak
• B) 2 salads per 1 steak
• C) 2.5 salads per 1 steak
• D) 3 salads per 1 steak
• E) 3.5 salads per 1 steak

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Definitions:

Cerebral Peduncles

Structures located at the base of the brain, containing nerve tracts that connect the cerebrum with the brainstem, cerebellum, and spinal cord.

Optic Chiasma

The Optic Chiasma is the X-shaped structure formed at the point where the optic nerves cross over each other, located at the base of the brain.

Optic Nerves

The pair of cranial nerves transmitting visual information from the retina to the brain.

Posteriorly

Relating to or located toward the back or rear of an organism or structure.