2. Graphically show the production possibilities frontier for the nation of Stromboli, using the data given in the following table. Does the principle of increasing cost hold in Stromboli?

Stromboli's 2019 Production Possibilities

Pizzas per Year Pizza Ovens per Year

75,000,000 0

60,000,000 6,000

45,000,000 11,000

30,000,000 15,000

15,000,000 18,000

020,000

3.Consider two alternatives for Stromboli in 2019. In case (a), its inhabitants eat 60 million pizzas and build 6,000pizza ovens. In case (b), the population eats 15 million pizzas but builds 18,000 ovens. Which case will lead to a more generous production possibilities frontier for Stromboli for next year in 2020?

4. Jasmine sells potato chips. She produces them by buying them from a wholesale supplier. Brand X costs $1 per bag, and Brand Y costs her $1.40. Draw Jasmine's production possibilities frontier if she has a $280 budget to spend on the purchase of potato chips from the wholesaler. Why is it not "bowed out"?

1. Discuss the resource limitations that affect

a. the poorest person on earth

b. Bill Gates, the richest person on earth

c. a banana farmer in St. Lucia

d. the government of St. Kitts-Nevis