3. If it takes 15 farmworkers to harvest 1 ton of strawberries and 3 farmworkers to harvest 1 ton of wheat, what is the opportunity cost of 5 tons of strawberries?

(a) Graph the production possibilities confronting each island.

(b) What is the opportunity cost of pineapples on each island (before trade)? Alpha:
Beta:

(c) Which island has a comparative advantage in pearl production?

(d) Graph the consumption possibilities of each island with free trade.

(e) If Beta produced only pearls, (i) How many could it produce?
(ii) How many pearls would it have to export to get 20 pineapples in return?
(iii) What is the net gain to Beta in this case?