Crusoe's and Friday's past patterns of production and consumption are described in the table at right. From the table, each man's hourly output at each task has been computed and is shown below the table. Clearly, Crusoe is a stronger producer than Friday in these two categories of labor. Now that they have met, Friday might hope to benefit from Crusoe's greater productive ability. On the other hand, it might seem on the surface that Crusoe cannot benefit from associating with Friday in either of these enterprises.



Bamboo
Poles
per Year
Bushels of
Berries
per Year
Annual Hours
Producing
Bamboo Poles
Annual Hours
Producing
Berries
Total
Hours
of Labor
Crusoe 10050102535
Friday 7542152439
Crusoe:   100/10  =  10 bamboo poles per hour
50/25  =  2 bushels of berries per hour
Friday:   75/15  =  5 bamboo poles per hour
42/24  =  1.75  bushels of berries per hour
Crusoe, however, has a flash of insight and proposes a deal: he offers to trade 75 bamboo poles annually for 19 bushels of Friday's berries.      Next page

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