Hints for Economics 452 Problem Set OneDo a rough draft first, then copy more neatly to version you turn in. Work on eachquestion as we complete that portion of chapter 3 so you do not put it all off until justbefore due. Questions 3 and 4 build on questions 1 and 2. Write your solutions onprintout of the questions and staple pages together before turning in your problem set. 1&2. Since says to put bananas on the vertical axis, bananas takes the place of wineand apples is like cheese. For 1a and 2a when writing the equations for the Home andForeign PPFs, make sure to write the labor constraint form with general notation first,then plug the numbers in, then rearrange to be in slope intercept form (with quantity ofbananas on the left-hand side). For Home and Foreign’s maximum production of applesand bananas, use the Q bar notation. See Example 3.1 Home PPF (slides 14-17) andExample 3.2 Foreign PPF (slides 24-27). When drawing the PPFs, wait until you havedetermined Foreign’s maximum production of bananas. Make the horizontal scale go
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