and eastern nation of Leisureland can maximize its production of both products and best deploy its limited resources.

Western Leisureland can produce one hundred bicycles per month or four hundred bowling balls per month. Or, by shifting resources between the two products, it can produce some combination of both products. By comparison, eastern Leisureland can produce four hundred bicycles monthly, one hundred bowling balls monthly, or some combination of both products.

This means that western Leisureland has a comparative advantage in producing bowling balls, while eastern Leisureland has a comparative advantage in producing bicycles.

Using the same resources, western Leisureland can produce four times as many bowling balls as it can produce bicycles. That means that for each additional bicycle produced in western Leisureland, the region will be able to produce four fewer bowling bowls. The opportunity cost of producing an additional bowling ball measured in terms of forgone bicycles in western Leisureland is that western Leisureland will produce 25% less of one bicycle.

If it is determined that four hundred bicycles must be produced, Leisureland can therefore also produce four hundred bowling balls if western Leisureland produces only bowling balls and eastern Leisureland produces only bicycles.

D) As Teachsuccess demonstrated, the east has a comparative advantage when producing bicycles. In fact, it has an enormous advantage—measured in terms of bowling balls per bike, the east is sixteen times more efficient. As a result, there's no reason to make even a single bicycle in the western region until we've run out of production in the east.

The question asks us to produce 400 bicycles. Conveniently, the number we need to make exactly matches the 400 maximum capacity of the eastern region.

Since we've exactly filled the east's capacity, the east has no remaining capacity to produce bowling balls. However, there is also no need for the west to inefficiently produce additional bikes. The western region can devote itself solely to bowling balls, producing its own maximum of 400.

Thus, if Leisureland must produce 400 bicycles, it can produce 400 bowling balls.

E) It will produce all 400 bicycles in the east, and all 400 bowling balls in the west.

Remember that eNotes policy allows for only one question per post (or two, if they are short). With that in mind, I will answer three out of the five questions.

a) What it is the opportunity cost of producing an additional bowling ball measured in terms of forgone bicycles in western Leisureland?

For the graph, I will use the y-axis (vertical axis) for bicycles and the x-axis (horizontal axis) for bowling balls. The paragraph states that western Leisureland can produce 100 bicycles a month (if it produces nothing else). It also states that western Leisureland can produce 400 bowling balls a month (if it produces nothing else).

Since we need to produce an additional bowling ball, we will need to forego a certain number of bicycles to do so. The opportunity cost is the tradeoff from producing one more bowling ball.

400 bowling balls=100 bicycles.

Divide by 400 on both sides.

1 bowling ball= 1/4 bicycle.

What this means is that, for every extra bowling ball western Leisureland produces a month, it will have to forego producing 1/4 of a bicycle (the opportunity cost).

b) What is the opportunity cost of producing an additional bowling ball measured in terms of forgone bicycles in eastern Leisureland?

Eastern Leisureland can either produce 400 bicycles a month or 100 bowling balls a month. Since we need to produce an additional bowling ball, we will need to forego producing a certain number of bicycles. Again, the opportunity cost is the tradeoff from producing one extra bowling ball.

100 bowling balls=400 bicycles.

Divide both sides by 100.

1 bowling ball=4 bicycles.

So, for every extra bowling ball eastern Leisureland produces a month, it will have to forego producing 4 bicycles (the opportunity cost).

c) Explain the difference in opportunity cost between western and eastern Leisureland. Which region has a comparative advantage in producing bowling balls? Bicycles?

From the above, we can see that western Leisureland has a comparative advantage in producing bowling balls. In order to produce an extra bowling ball, it will only have to forego producing 1/4 of a bicycle.

400 bowling balls= 100 bicycles.

Divide both sides by 400.

1 bowling ball= 1/4 bicycle.

On the other hand, for every bowling ball eastern Leisureland produces, it must forego producing 4 bicycles.

100 bowling balls= 400 bicycles.

Divide both sides by 100.

1 bowling ball= 4 bicycles.

Therefore, it's cheaper to produce bowling balls in western Leisureland. Western Leisureland is said to have a comparative advantage in producing bowling balls.

Meanwhile, eastern Leisureland has a comparative advantage in producing bicycles. For every extra bicycle it produces, it will only have to forego producing 1/4 of a bowling ball.

400 bicycles=100 bowling balls

Divide both sides by 400.

1 bicycle= 1/4 bowling ball.

On the other hand, for every extra bicycle western Leisureland produces, it will have to forego producing 4 bowling balls.

100 bicycles=400 bowling balls.

Divide both sides by 100.

1 bicycle= 4 bowling balls.

Therefore, eastern Leisureland is said to have a comparative advantage in producing bicycles.