In: Economics
Combination | apples( thousands /kg) | grapes(thousand/kg) |
A | 180 | 0 |
B | 150 | 10 |
C | 120 | 20 |
D | 60 | 30 |
E | 30 | 40 |
F | 0 | 50 |
a. Based on table above, Plot the Production Possibilities Curve
(PPC)
(2Marks)
b.What the opportunity cost of producing 20 thousand KG of
Grapes
(Show your working) (2Marks)
c.What the opportunity cost of producing 150 thousand KG of Apples.
(Show your working)
d.If this country wants to produces 30 thousand kg of apples and 20
thousand kg
of grapes, is the combination achievable? (show this combination in
your curve). If YES,
give a reason.
e.If this country wants to produces 120 thousand kg of apples and
40 thousand kg
of grapes, is the combination achievable? (Show this combination in
your curve).
If NO, give a reason. ( 2 Marks