Suppose there is a simple one good economy that only produce…

Suppose there is a simple one good economy that only produces spinning rims. In 2015, the economy was able to produce 1 million sets of spinning rims at an amazing price of $500 per set. In 2016, the economy was able to produce 1 million sets of spinning rims at a price of $1,000 per set. By what amount did real GDP increase between 2015 and 2016 in the simple one good economy?

Suppose that we have two countries the United States and Jap…

Suppose that we have two countries the United States and Japan with their respective production possibility curves with two goods: computers and medical devices.  The United States’ computer intercept is 2,000,000 computers and its medical device intercept is 400,000 medical devices. The Japanese computer intercept is 1,000,000 computers and its medical device intercept is 500,000 medical devices.  If the two countries decide to engage in trade which country should produce medical devices?