An increase in the federal minimum wage will shift the long-run aggregate supply curve to the left

Continuing with the power plant from the previous question, suppose instead the price of coal next month could be $54 or $66 (with equal probability). Now how much would it be willing to pay for an option to buy a ton of coal oil next month at today's price?

a. 5 b. 4 c. 3 d. 0

The production possibilities curve for guns and butter in both Canada and the U.S. are straight lines. Suppose for Canada, the opportunity cost of producing butter is 1/2 gun. What must the opportunity cost of producing butter in the U.S. be if it specializes in guns and Canada specializes in butter?

a. more than 2 b. 2 c. 1/2 d. less than 1/2 e. more than 1/2