9. Homer is stranded on a deserted island called Springwater. Each week he forages the island and...
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9. Homer is stranded on a deserted island called Springwater. Each week he forages the island and can collect 9 coconuts or catch 18 fish.
a. Draw a production possibilities frontier for Homer. Put fish on the y-axis. (____/2)
b. Assume Homer is lazy and he does not work most days, add a point labeled "a" on your PPF where his output could be. (____/1)
c. Assume Homer is efficient. Add a point labeled "b" on your PPF (____/1)
d. What is Homer's opportunity cost of picking 1 coconut? (____/1)
e. A friendly pirate lands on Springwater. The pirates can get 10 coconuts or 30 fish. How should Homer and the pirate specialize? Explain how you determined your answer (____/2)
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