Question

12. The existing entries in the following table show the maximum quantities of milk shakes or fruit smoothies the college president and dining hall staffer could make during an afternoon shift, given a fixed amount of resources.

a. Fill in the remaining part of the table (be sure to label the units) and answer the questions

below.

Number of Milk Shakes per Shift

Number of Smoothies

per Shift

Opportunity

Cost of 1

Smoothie

Opportunity

Cost of 1

Milk Shake

President5025
Dining Hall Staffer9030

b. Who has a comparative advantage in producing smoothies?

c. Who has an absolute advantage in producing milk shakes?

Answer

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