this estimate doesn't neeessay need better , but have a comparative advantage. Dave garden lawn garden Joe oh 7 12 x 820 = $240 8 * $15 = $270 14 x820= $320 20X 820 = 89 8. Suppose that Joe and Dave share a lawn and garden care business to earn money during the summer. They charge $20 for each standard-size lawn mowed and $15 for each standard-size garden weeded. If Joe spends an entire 8-hour day mowing lawns, he is able to mow 12 of them. Alternatively, he can weed 18 gardens in that amount of time. Dave, who is older and more experienced, can mow 16 lawns in an 8-hour day or can weed 20 gardens in the same amount of time. a. Draw and label the PPF for one day for Joe and for Dave. Lawn Lawn DOWE510 518 Economics and Public Policy: An Analytical Approach b. What is the opportunity cost (in terms of gardens weeded) for Joe of mowing one lawn? 5.5 What is it for Dave? 6.5 c. What is the opportunity cost (in terms of lawns mowed) for Joe of weeding one garden? 5: 25 What is it for Dave? d. Who has the comparative advantage in lawn mowing? Dave e. Who has the comparative advantage in garden weeding? Dave f. Who has the absolute advantage in lawn mowing? Dave g. Who has the absolute advantage in garden weeding? Dave h. Who should specialize in lawn mowing? Joe i. Who should specialize in garden weeding? Dave j. Suppose that both Joe and Dave were to spend half of the day mowing lawns and half of the day weeding gardens. How much will they collectively earn in 1 day? Why? Joe = 61 x $20 =$120 Dave = BL x $20= $160 J+ D = $550 8 G x $15 = $120 10 9 * $ 15 = $150 k. Suppose that Joe and Dave were to specialize by spending the entire day doing the respective tasks for which each of them had the comparative advantage. Now, how much will they collectively earn in 1 day? Why? Compare this to your answer in part (j). What does this result imply about the merits of specialization? It implies that they would earn more together It each of them did/ what they'rebetter at. 9. The following data describe the production possibilities for a farm where only peaches and apples are relatively produced. Apples Peaches 0 5,000 50,000 10,000 48,000 15,000 38,000 18,000 _ 1000 18,000 0 Workbook pages may not be reproduced in any form without the written permission of the publisher