The nation of squilax can produce only apples and wool.

The nation of Squilax can produce only apples and wool. If Squilax uses all its resources to produce apples, it can produce 3000 kg of apples. Alternatively, if it devotes all its resources to produce wool, it can produce 1500 kg of wool. Squilax can also assign resources between the production of these goods and locate at any point along a linear PPF.
a. Draw a production possibilities curve for Squilax(with wool on the horizontal axis).
b. What is Squilax’s opportunity cost of producing an additional kg of wool? Be sure to show supporting work for your answer.
c. What is Squilax’s opportunity cost of producing one kg of apples? Be sure to show supporting work for your answer.
d. The nation of Chase can produce only apples and wool. If Chase uses all its resources to produce apples, it can produce 3000 kg of apples. Alternatively, if it devotes all its resources to produce wool, it can produce 1000 kg of wool. Chase can also assign resources between the production of these goods and locate at any point along a linear PPF.
What is Chase’s opportunity cost of producing an additional kg of wool? Be sure to show supporting work for your answer.
e. Which region has a comparative advantage in producing wool? Briefly explain your answer.
f. Draw the two country PPF for Squilax and Chase, making sure to clearly label all important information.
g. Suppose the countries will locate on the two country PPF and it is determined that 1000 kg of wool should be produced. Show supporting work for the production choice of each country in this situation.