A country produces books and video games exclusively. In the same time it takes to produce one video game, the country could produce 4 books. If the country only focused on one of the goods to produce, the maximum amount the country can produce is either 200 video games or 800 books. They can create a combination of the two goods, but the opportunity cost for production will remain the same. If the country would like to consume a combination of 100 video games and 1,400 books, which of the following is true?(1 point)

Question

Responses

The country might consume 100 video games and 1,400 books following trade.
The country might consume 100 video games and 1,400 books following trade.

The country can produce 600 more books and 100 fewer video games itself, or it can engage in trade.
The country can produce 600 more books and 100 fewer video games itself, or it can engage in trade.

It is impossible for the country to consume a combination of 100 video games and 1,400 books.
It is impossible for the country to consume a combination of 100 video games and 1,400 books.

This is only possible if the country produces 600 more books and 100 fewer video games itself.
This is only possible if the country produces 600 more books and 100 fewer video games itself.

Answer 1

To analyze this situation, we need to understand the production possibilities of the country based on the information given.

1. Production Capacity:

   • Maximum production of video games = 200
   • Maximum production of books = 800

2. Production Ratio:

   • In the time it takes to produce 1 video game, the country can produce 4 books. Thus, the opportunity cost of producing 1 video game is 4 books, and conversely, the opportunity cost of producing 1 book is 0.25 video games.

3. Combination Desired:

   • The country would like to consume a combination of 100 video games and 1,400 books.

Now let's see if the country can meet this combination with its production capabilities:

• If the country produces 100 video games:
  • The maximum number of books it can produce is determined by the total capacity, which in terms of time is:
    • Books produced during the 100 video games = \( (200 - 100) \times 4 = 400 \) books (since 100 video games take up 100 segments of time).

So, if they produce 100 video games, the maximum number of books they can produce is 400 books.

Given that they want to consume 1,400 books, the country cannot achieve that combination of 100 video games and 1,400 books by itself because it can only produce a maximum of 400 books.

Thus, we conclude:

• It is impossible for the country to consume a combination of 100 video games and 1,400 books.

Therefore, the correct response is:

It is impossible for the country to consume a combination of 100 video games and 1,400 books.