12 Total grain produced 10.5 Bushels of grain What G Feasible frontier. Bruno gets Angela and Bruno combined 5.
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Question

Angela is a farmer whose feasible frontier is illustrated in the diagram. Bruno is Angela's neighbour who is not a

farmer but claims some of Angela's harvest for an unknown reason. The Points E-I are possible allocations of grain production between Angela and Bruno. The current allocation between the two parties is Point E. Which statement incorrectly describes the situation illustrated in the diagram?


q2.png

Select one:

a. From the diagram it is not certain whether Angela would prefer Point G to Point E.

b. If the allocation moves to Point F, the total output level increases.

c. Angela would not prefer Point G to Point F as the former requires her to work more hours than the latter.

d. Angela would prefer Point I to the current allocation as she would have more grain and more free time.

e. Bruno and Angela are currently splitting the output in half.

q2.png

12
Total grain
produced
10.5
Bushels of grain
What
G
Feasible frontier.
Bruno gets
Angela and Bruno
combined
5.25
E
What
Angela gets
0
H
O Angela's free time 12 Angela's work 24
Angela's hours of free time

Top Answer

c. Angela would not prefer point G to... View the full answer

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