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microeconomics l. (30 marks) Nijhum Dwip is a small. isolated island in the Bay of Bengal. The inhabitants grow coconuts and catch sh. The accompanying

microeconomics

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l. (30 marks) Nijhum Dwip is a small. isolated island in the Bay of Bengal. The inhabitants grow coconuts and catch sh. The accompanying table shows the maximum annual output combinations of coconuts and sh that can be produced Obviously, given their limited resources and available technology. as they use more of their resources for coconut production. there are fewer resources available for catching sh. m coconuts L; a. Draw a production possibility frontier (PPF) with coconuts on the horizontal axis and sh on the vertical axis illustrating these options. showing points AF. b. Can Nijhum Dwip produce 600 kg of coconuts and 800 kg of sh? Explain. c. What is the opportunity cost of increasing the annual output of coconuts front 200 to 400 kg? d. What is the opportunity cost of increasing the annual output of coconuts from 600 to 800 kg? e. Explain the shape of the PPF using the numbers in part c and d

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