Tutorial 1

1.Given production possibilities for country MAX:

X

5

10

15

20

25

30

35

40

45

Y

99

96

91

84

75

64

51

36

19

Possibility

a

b

c

d

e

f

g

h

i

a)Draw country MAX's PPF.

b)On the same figure, plot a point for :

i)Attainable and efficient point. Label it as J.

ii)Unattainable point. Label it as K

c)Calculate and explain country MAX's OC if the production change from:

i)Point A to H

ii)Point B to E

iii)Point E to B

iv)Point G to C

Tutorial 1

1.Given production possibilities for country MAX:

X

5

10

15

20

25

30

35

40

45

Y

99

96

91

84

75

64

51

36

19

Possibility

a

b

c

d

e

f

g

h

i

a)Draw country MAX's PPF.

b)On the same figure, plot a point for :

i)Attainable and efficient point. Label it as J.

ii)Unattainable point. Label it as K

c)Calculate and explain country MAX's OC if the production change from:

i)Point A to H

ii)Point B to E

iii)Point E to B

iv)Point G to C