Figure 3-3

-Refer to Figure 3-3.Originally,Fred was spending half of his time producing tap shoes and the other half of his time producing ballet slippers;Ginger was dividing her time the same way.Then,Fred began spending all of his time producing the good in which he has a comparative advantage,and Ginger began spending all of her time producing the good in which she has a comparative advantage.As a result,
A)total output of ballet slippers decreases by 1 and total output of tap shoes increases by 3.
B)total output of ballet slippers increases by 1 and total output of tap shoes increases by 2.
C)total output of ballet slippers increases by 2 and total output of tap shoes increases by 1.
D)total output of ballet slippers remains constant and total output of tap shoes increases by 2.

Question

Figure 3-3
 
-Refer to Figure 3-3.Originally,Fred was spending half of his time producing tap shoes and the other half of his time producing ballet slippers;Ginger was dividing her time the same way.Then,Fred began spending all of his time producing the good in which he has a comparative advantage,and Ginger began spending all of her time producing the good in which she has a comparative advantage.As a result,
A)total output of ballet slippers decreases by 1 and total output of tap shoes increases by 3. 
B)total output of ballet slippers increases by 1 and total output of tap shoes increases by 2. 
C)total output of ballet slippers increases by 2 and total output of tap shoes increases by 1. 
D)total output of ballet slippers remains constant and total output of tap shoes increases by 2.

Quizplus · Accepted Answer

Based on the graph, if Fred produces only tap shoes, he can produce 6 tap shoes in an hour, while Ginger can only produce 1.5. Similarly, if Ginger produces only ballet slippers, she can produce 3 pairs in an hour while Fred can only produce 1.5. Therefore, if Fred specializes in tap shoes and Ginger specializes in ballet slippers, total output will increase. Ginger can produce an extra 1.5 pairs of ballet slippers, and Fred can produce an extra 4.5 tap shoes. This results in a total output increase of 1 ballet slipper and 2 tap shoes. Thus, the correct answer is B.

Figure 3-3 -Refer to Figure 3-3.Originally,Fred Was Spending Half of His Time