A production possibilities table for DVDS and computers is shown below. Production Alternatives B Type of Production Computers DVDS A D E 20 40 60 80 80 70 55 35 a. Show these data graphically, and then identify a point that indicates an inefficient use of resources and a point that indicates an unattainable combination of goods. Instructions: Use the tool provided 'PPC' to draw a PPC curve (plot 5 points total). 100 Tools 80 PPC F 60 40 G 20 20 40 60 80 100 Computers Point [(Click to select) |is an example of an inefficient point, while point (Click to select) |is an example of an unattainable point. b. Does the economy above demonstrate the law of increasing opportunity cost? (Click to select) DVDS

A production possibilities table for DVDS and computers is shown below. Production Alternatives B Type of Production Computers DVDS A D E 20 40 60 80 80 70 55 35 a. Show these data graphically, and then identify a point that indicates an inefficient use of resources and a point that indicates an unattainable combination of goods. Instructions: Use the tool provided 'PPC' to draw a PPC curve (plot 5 points total). 100 Tools 80 PPC F 60 40 G 20 20 40 60 80 100 Computers Point [(Click to select) |is an example of an inefficient point, while point (Click to select) |is an example of an unattainable point. b. Does the economy above demonstrate the law of increasing opportunity cost? (Click to select) DVDS

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

6
05. What is the per-unit opportunity cost of product Y as production moves from point D to point B? a) 6/7 b) -6/7 c) 7/6 d) -7/6
Which of points A–E is the most efficient? Explain.
$ per unit U [] U U 5 U 4 3 2 1 a e b с f 0 d a MB/MC Graph b 1 Use the graph above to answer the following question. What area(s) represents the total benefit of 3 units? Select zero or more of the letters listed below to indicate the total graphical area. d 2 e (D w. 3 MC MB Number of units (x)
Complete the following table. Also find the quantity that maximizes surp Quantity Total Benefit Total Cost Marginal Benefit Marginal Cost 0 0 15 400 66.67 2200 800 26.67 50 2000 140 60 6000 100 7000 8000 33.33 150 8000 20000 Calculate the following marginal opportunity costs using the graph showing oranges and cherries a. Increasing orange production from 50 to 80 b. Increasing cherry production from 100 to 200 c. Increasing orange production by 2 d. Increasing cherry production by 30
5. Draw a Production Possibilities Graph for Toyota using the following information: A B C E F Trucks 20 28 35 40 43 45 Cars 54 52 49 43 35 25 A. Which combination(s) on the graph are considered efficient?
None
Use the following table to answer the question below. Alexandra’s Production Possibilities Schedule Natalia’s Production Possibilities Schedule Number of Scarves Knitted per Day Number of Sweaters Knitted per Day Number of Scarves Knitted per Day Number of Sweaters Knitted per Day 0 4 0 4 3 3 2 3 6 2 4 2 9 1 6 1 12 0 8 0 Which of the following is an acceptable term of trade? Multiple Choice 2 sweaters for 7 scarves 4 sweaters for 10 scarves 8 sweaters for 15 scarves 6 sweaters for 10 scarves
1. Assume you are on an iceland, where you can produce different combinations of coconuts and fish that can be harvested in a given week. The table below shows these combinations. Notice that you can produce either all crabs, all pineapples, or a mix of the two. Coconuts Fish 25 3 15 4 12 5 a) Draw PPF using the information from this table; b) Calculate opportunity cost of coconuts if you decide to increase their harvest from 3 to 5; c) Calculate the slope of the PPF if you increase their harvest from 3 to 5; d) Will you harvest 5 coconuts and 12 fish on any day of the week? Why? e) Will you harvest 5 coconuts and 4 fish on any day of the week? Why?
A production possibility frontier corn. The farmer can grow 80 bushels of soybeans or 160 bushels of corn on each acre of land. The price of soybeans is $13.20 per bushel. The price of corn is $5.85 per bushel. A farmer can grow soybeans or What is the opportunity cost (in dollars) per acre to grow soybeans? Corn? Which crop (pick only one) do you think the farmer will produce? Why?
2 ) Use the graph to calculate Mary’s opportunity cost of an hour of skating when she increases her time spent skating from: a) 2 to 4 hours a week. b) 4 to 6 hours a week. c) describe the relationship between the time Mary spends skating and the opportunity cost of an hour of skating.
个 The table shows Frigidia's production possibilities. Fish (pounds per month) 300 200 100 0 Draw the four points defined in the table. Use the four-point line tool to draw the PPF. Label it. and and and and Skis (pairs per month) 0 50 100 150 If Frigidia produces 200 pounds of fish per month, how many pairs of skis must it produce to achieve production efficiency? Frigidia must produce pairs of skis to achieve production efficiency. What is Frigidia's opportunity cost of producing 1 pound of fish and 1 pair of skis? pairs of The opportunity cost of 1 pound of fish is skis 300- 250 200- Fish (pounds per month) 150- 100- 50- 25 50 75 100 125 Skis (pairs per month) 150 17!