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Imagine a world with only two countries, Atlantis and Lemuria, and only two goods, bread and cheese. A single resource, of which both countries have
Imagine a world with only two countries, Atlantis and Lemuria, and only two goods, bread and cheese. A single resource, of which both countries have an endowment of two units, is used to produce both goods. The countries' resource requirements for each good are as shown in the following diagrams: Atlantis Lemuria In both cases each rectangle represents one unit of the resource (each country has an allocation of two units) and:
Lemuria
\f= 1 pound of bread = 1 pound of cheeseStep by Step Solution
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