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Suppose that you are on a desert island and possessexactly 20 coconuts. Your neighbor, Friday, is a fisherman,and he is willing to trade 2 fish
Suppose that you are on a desert island and possessexactly 20 coconuts. Your neighbor, Friday, is a fisherman,and he is willing to trade 2 fish for every 1 coconut that you are willing to give him. Another neighbor, Kwame, is also afisherman, and he is willing to trade 3 fish for every 1 coconut. LO1.5 a. On a single figure, draw budget lines for trading withFriday and for trading with Kwame. (Put coconuts on thevertical axis.) b. What is the slope of the budget line from trading with Friday? c. What is the slope of the budget line from trading with Kwame? d. Which budget line features a larger set of attainable combinations of coconuts and fish? e. If you are going to trade coconuts for fish, would you rather trade with Friday or Kramer
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