Geppetto and Lewis both make puzzles and puppets for their toy stores. The table below compares their production possibilities schedules

a) Which producer has the comparative advantage in producing puzzles?

b) Which producer has the comparative advantage in producing puppets?

c) If both producers decided to trade with each other to stock their toy stores, which of the following is a range of terms of trade that would benefit both Geppetto and Lewis (1 pupet=x puzzles)

a) They would be willing to trade in the range of 1 puzzle per puppet to 5 puzzles per puppet.

b) They would be willing to trade in the range of 2 puzzles per puppet to 5 puzzles per puppet.

c) They would be willing to trade in the range of 1 puzzle per puppet to 6 puzzles per puppet.

d) They would be willing to trade in the rage of 2 puzzles per puppet to 6 puzzles per puppet.

schedules. Geppetto and Lewis both make puzzles and puppets for their Production Possibilities Schedules Geppetto Lewis Puzzles Puppets Puzzles Puppets 109 50 80 4 40 5 60 8 30 10 40 12 20 15 20 16 10 20 20 25 a. Which producer has the comparative advantage in produ (Click to select) v b. Which producer has the comparative advantage in produ (Click to select) v c. If both producers decided to trade with each other to sto would benefit both Geppetto and Lewis (1 puppet = x puzz