Resource Allocation and Production Possibilities


Suppose you have {{ params.workers }} workers in your economy. Each worker can make {{ params.wineProductivity }} barrels of wine, or {{ params.clothProductivity }} yards of cloth.

Drag the dot in the left-hand graph to allocate workers; the right-hand graph will show the resulting production choice.


Resource and Technology Parameters


Labor Force: {{params.workers}} workers


Wine Productivity : {{params.wineProductivity}} barrels per worker


Cloth Productivity: {{params.clothProductivity}} yards per worker

Production Choice (drag resource dot to change)


W = {{ params.wineWorkers }} \text{ workers} \times {{ params.wineProductivity }} \text{ } \frac{\text{barrels}}{\text{worker}} = {{ params.wineWorkers*params.wineProductivity }} \text{ barrels}

C = {{ params.clothWorkers }} \text{ workers} \times {{ params.clothProductivity }} \text{ } \frac{\text{yards}}{\text{worker}} = {{ params.clothWorkers*params.clothProductivity }} \text{ yards}
Copyright (c) Christopher Makler / econgraphs.org