A Rancher Can Produce 10 Kilograms Of Meat In 40 Hours Alternatively He Can Produce 8 Kilograms Of Potatoes In The Sam 1 (310.23 KiB) Viewed 26 times
A rancher can produce 10 kilograms of meat in 40 hours. Alternatively, he can produce 8 kilograms of potatoes in the same 40 hours. Which of the following is the best trade scenario for the rancher? He should produce more potatoes than he needs and exchange each kilogram of excess potatoes for 1.25 kilograms of meat. He should produce more meat than he needs and exchange each kilogram of excess meat for 0.6 kilograms of potatoes. He should produce more potatoes than he needs and exchange each kilogram of excess potatoes for 1.5 kilograms of meat. He should produce more meat than he needs and exchange each kilogram of excess meat for 0.8 kilograms of potatoes.
If the catch-up effect is universal, i.e. the poorer countries grow faster. Given enough time, what would happen to the international income differences? The catch-up effect does not do anything to the international income differences They would disappear. They would increase because the rich countries would continue to get richer. They would remain the same because income in both the rich and poor countries would grow over time.
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