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Maryam allocates her time between designing websites and teaching web designing. She can design three websites in one hour OR teach two students.

a. If Maryam works a total of 8 hours per day, graph her production possibilities frontier. Label designed websites on the x-axis and number of students on the y-axis.

b. Suppose that in the previous question, Maryam adopts a better teaching technique. Therefore, she can now teach four students in one hour instead of two students per hour. Show how this improvement in Maryam's teaching technique affects her production possibilities frontier. Maryam works 8 hours per day. Label designed websites on the x-axis and number of students on the y-axis.

c. Calculate Maryam's opportunity cost of teaching students based on the answer in part (a). Clearly show your working and provide correct unit for the opportunity cost.

Microeconomics, Economics

  • Category:- Microeconomics
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