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Question 2: The diagram below shows the production possibilities boundary for a country that produces only two goods limes and coconuts. Assume that resources are

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Question 2: The diagram below shows the production possibilities boundary for a country that produces only two goods limes and coconuts. Assume that resources are fully employed at points A. B. C. and D. Coconuts Limes a. Suppose individual films in the lime industry are not producing at their minimum possible cost. Which point(s) could represent this situation? b. Suppose all firms and both industries are productive efficient. Which points could represent this situation? c. Suppose point B occurs when the Lime industry is monopolized but the coconut industry is perfectly competitive. Is point B allocationy efficient? Is it productively efficient? d. Suppose point D occurs when the coconut industry is monopolized but the lime

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