ECN-361 Study Guide Problems
16. Assume for Brazil that the opportunity cost of each cashew is 100 peanuts. Which of these pairs
of points could be on Brazil's production possibilities frontier?
a. (200 cashews, 30,000 peanuts) and (150 cashews, 35,000 peanuts)
b. (200 cashews, 40,000 peanuts) and (150 cashews, 30,000 peanuts)
c. (300 cashews, 60,000 peanut) and (200 cashews, 50,000 peanuts)
d. (300 cashews, 60,000 peanuts) and (200 cashews, 80,000 peanuts)