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Pounds of salmon

dylan avatar
dylan
7 diapositives · 302 Views · Jul 10, 2014

Ethiopia and Norway PPF’s (Alternative example: coffee and salmon). 10000. *Both countries have the same scarce resources (time and labor) to produce salmon and coffee*. 7500. Norway’s PPF. Pounds of salmon. What country has an absolute advantage in producing salmon?

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Pounds of salmon
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  1. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon What country has an absolute advantage in producing salmon? What country has an absolute advantage in producing coffee? 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee

  2. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee

  3. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee

  4. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon What country has a comparative advantage in producing salmon? What country has a comparative advantage in producing coffee? 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee

  5. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon If Ethiopia specializes in salmon and Norway specializes in coffee – both countries trade and split production evenly, how much salmon and coffee does each country consume? 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee

  6. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon If Ethiopia specializes in coffee and Norway specializes in salmon– both countries trade and split production evenly, how much salmon and coffee does each country consume? 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee

  7. Ethiopia and Norway PPF’s (Alternative example: coffee and salmon) 10000 *Both countries have the same scarce resources (time and labor) to produce salmon and coffee* 7500 Norway’s PPF Pounds of salmon When specializing and exploiting each country’s comparative advantage – both country’s are better off. 5000 Ethiopia’s PPF 2500 0 0 10000 5000 15000 20000 Pounds of coffee