Question
The prairies dog has always been considered a problem for American cattle ranchers. they dig holes that cattle and horses can step in and they
The prairies dog has always been considered a problem for American cattle ranchers. they dig holes that cattle and horses can step in and they eat grass necessary for cattle. Recently, ranchers have discovered that there is a demand for prairie dog pets. in some area prairies dogs can sell for as high as $150.cattlemen are now fencing off prairies dog towns on their land so these towns will not be disturbed by their cattle, Draw a production possibilities frontier showing a ranchers production option between cattle production and prairie dog production showing increasing opportunity cost and show what happen in each of the following situations. ( use a separate graph for each situation).
a) The outcome is efficient, with ranchers choosing to produce equal numbers of cattle and prairie dogs.
b) The government grants new leases to ranchers, giving them 10,000 new acres of grassland each for grazing.
c) A drought destroys most of the available grass for grazing of cattle, but not for prairies dogs since they also eat plant roots
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