13.6 In the country of Ruritania there are two regions, A and B. Two goods (x and y) are produced in both regions. Production functions for region A are given by x = = here I and I, are the quantities of labor devoted to x and y production, respectively. Total labor available in region A is 100 units; that is, 4+4=100. Using a similar notation for region B, production functions are given by xB= 3B = There are also 100 units of labor available in region B: 4+4=100.

a. Calculate the production possibility curves for regions A and B.

b. What condition must hold if production in Ruritania is to be allocated efficiently between regions A and B (assuming labor cannot move from one region to the other)?

c. Calculate the production possibility curve for Ruritania (again assuming labor is immobile between regions). How much total y can Ruritania produce if total x output is 12? Hint: A graphical analysis may be of some help here.