An economy with two people (Frank and call)is endowed with L= 400 acres of ranch

Question

An economy with two people (Frank and call)is endowed with L= 400 acres of ranch land and produces a herd of x cattle per year Frank is the better rancher: what allotment of ranch land produces the largest total herd of cattle, and how big is it? we know that the allocation above can be achieved by a perfectly competitive equilibrium. Why do we know this {circle best answer} it follows from the definition of Pareto efficiency in distribution. it follows from the definition of Pareto efficiency in production it is implied by the first Fundamental Theorem of Welfare Economics. it is implied by the Second Fundamental Theorem of Welfare Economics. This allocation is the only one that could be stable over time An agrarian revolution redistributes land equally. What is the new total herd size head of cattle An economy has allocated resources L to produce two goods in amounts X and Z which has been

Explanation / Answer

total x=f(p)= 3sqrt(p)+sqrt(400-p) at max x df/dp=0 3/2(sqrtp) -1/2(sqrt(400-p))=0 3sqrt(400-p)-sqrt p =0 p/(400-p)=9 p=400*9 -9p p=360 LF=360 LG=40 Xmax=3sqrt360 +6 =63

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