Suppose that a worker in Country A can make either 10 iPhones or 5 iPads each year. Country A has 100 workers. Suppose a worker in Country B can make either 2 iPhones or 10 iPads each year. Country B has 200 workers. A bundle of goods that Country A could potentially make would be:
A) (500 iPhones, 500 iPads).
B) (500 iPhones, 400 iPads).
C) (500 iPhones, 300 iPads).
D) (500 iPhones, 200 iPads).

Question

Quizplus · Accepted Answer

Country A can make a total of 1000 iPhones (10 iPhones * 100 workers) or 500 iPads (5 iPads * 100 workers) if all workers focus on one product. To make 500 iPhones, half the workforce would be used (since 10 iPhones per worker), leaving the other half to make iPads. Since each of those 50 remaining workers can make 5 iPads, they can produce a total of 250 iPads (5 iPads * 50 workers). However, the options provided do not include a combination of 500 iPhones and 250 iPads, indicating a mistake in my calculation or interpretation. Given the options, the closest feasible scenario based on the productivity rates provided would be (500 iPhones, 200 iPads), but this does not align with the direct calculation. It seems there was an error in my explanation; the correct interpretation should consider the trade-offs and maximum capacities given the options provided.

Suppose That a Worker in Country a Can Make Either