Refer to Table 3-1. Assume that John and Jane each work 24 hours. What happens to total production if instead of each person spending 12 hours producing each good, Jane spends 21 hours producing wine and 3 hours producing bread and John spends 3 hours producing wine and 21 hours producing bread?

Question

a. The total production of bread rises and the total production of wine falls.
b. The total production of bread and wine each fall.
c. The total production of bread falls and the total production of wine rises.
d. The total production of bread and wine each rise.

Answer 1

To answer your question effectively, we need to analyze the production capabilities of John and Jane based on the specified hours they spend on each good. However, without having the specifics in Table 3-1 (such as the maximum outputs of bread and wine based on hours worked or comparative advantages), I can't give a definitive answer based on hard numbers.

However, I can guide you on how to approach this question with the provided options:

1. Determine the initial production: If each person spends 12 hours on each good, calculate the total production of bread and wine at that distribution.

2. Analyze the new distribution of hours: If Jane spends 21 hours on wine and 3 hours on bread, while John spends 3 hours on wine and 21 hours on bread, you will have to calculate the new outputs based on those hours.

3. Compare the results: After calculating both initial and new production numbers, compare them to see if the total production of bread and wine has increased or decreased.

Given the options:

• If the total production of bread increases and the total production of wine decreases, the correct answer would be (a).
• If both productions decrease, then (b) would be accurate.
• If the total production of bread decreases and wine increases, then (c) would be the right choice.
• If both productions increase, you would select (d).

Make sure to compute the values based on the details represented in Table 3-1 to reach the correct conclusion.