1.)Do you think that the Production Possibilities Frontier model is useful or not? Give some examples and explain your answer.

2.) We have two producers, Gwen and Blake, Gwen can produce 60 pizzas and 120 wings per day, Blake can produce 24 pizzas and 77 wings per day, who has absolute advantage over the other? who should produce pizzas? who should produce wings? and what is the gain from specialization.

Answer rating: 100% (QA)

1 The Production Possibilities Frontier PPF model is indeed useful in economics as it provides a simplified representation of the tradeoffs and constraints faced by an economy in terms of resource all... View the full answer