Question
Consider a simple diagram with two axes and the origin at the point (0,0), with the horizontal axis representing CL and the vertical axis representing
Consider a simple diagram with two axes and the origin at the point (0,0), with the horizontal axis representing CL and the vertical axis representing HP. Now, pick a point in the positive orthant on this diagram as representing the initial point for country 1.
Using free hand drawing, graphically represent the answer you provided in part (a). That is, pick points on the figure that will provide the same level of satisfaction for a given (CL, HP) pair of values (hint: it's a curved line).
Now think about different country, country 2, with the same initial point as country 1. Suppose that the population in this country has a relatively strong preference for CL compared to country 1. Graphically represent this tradeoff using a different curved line. How would the shape of the CL-HP trade-off look different for country 2? Briefly explain
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