Question

Answering question F

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Answer 1

Please see the solution for (f)

		Central
Before Trade	Coffee	50
	Arrows	20
Specialization	Coffee	70
	Arrows	12
After Trade	Coffee	50
	Arrows	62

(a) Initially, 50% of time used for Coffee and 50% for Arrows

(b) With specialisation, when it produces 70 Coffee, instead of 50, it has additional 30% of its time left (It could produce max. 100, and 30% of time would be used to produce 30% * 40= 12 Arrows, hence 70,12)

(c) After Trading 20 Coffee traded for 60 Arrows, they have 50 C and 62 A.

Let me know if something is missing.