Assignment 1


: Jamal’s weekly budget is $48, which he spends on magazines and pies.




: Many of the goods that China’s Citizens enjoy are produced abroad, and many of the goods produced in the China are sold abroad. When goods are produced abroad and sold domestically, the process is called import and when goods are produced domestically and sold abroad, that process is called export. Suppose an average worker in China can produce one kg of soybeans in 40 minutes and one Kg of coffee in 120 minutes, while an average worker in Paraguay can produce one kg of soybeans in 100 minutes and one kg of coffee in 150 minutes. Answer the following questions.


 Illustrates the interaction (equilibrium point) of demand and supply in the market for petrol based on the table below. And explain following conditions.