Based on the PPF below, which point(s) is inefficient?OUTPUT OF TRUCKS (per day)108754W2AA and BCX12XBC3 4OUTPUT OF TANKS (per day)5 6 7 8 9 10

A production possibility frontier (PPF) represents the maximum combination of goods that can be…

Answered: Based on the PPF below, which point(s)…

Business

Economics

Based on the PPF below, which point(s) is inefficient? 10.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Explain the following economic concepts with a PPF a) Scarcity b) Economic Inefficiency c)…

A: The production possibility curve shows the combination of two goods that the economy can produce…

Q: True or False: The production possibilities frontier consists of straight-line segments, rather than…

Q: Provide possible reasons regarding shift of PPC to the unttainable point (5marks)

A: The Production Possibility Curve or Frontier (PPC or PPF), delineates every one of the potential…

Q: Which of the following points is not attainable under current situation? Good Y A OB О с O D Ο Ε D B…

A: This can be described as a concept that shows the graphical representation that shows the different…

Q: A * F D A_ B C. D E F

A: Production possibility frontier (PPF) is the representation of the possible combination a producer…

Q: 46. Refer to Figure 2.5. If the economy is operating along PPF2 the maximum and the maximum number…

A: Here's the solution based on the information in Figure 2.5:If the economy is operating along PPF2,…

Q: government intervention prevents the invisible hand's ability to coordinate the decisions of the…

A: The classical economists have always argued that there exists a invisible hand in the market which…

Q: 100 DRYERS 88 2288 22 22 90 80 70 60 50 40 30 20 10 C I D 10 20 30 40 50 60 70 80 90 100 WASHERS B…

A: Production possibility frontier or PPF shows the different combinations of two goods that can be…

Q: Figure 1 shows the PPF for an economy that produces Food and Clothes. What is the maximum amount of…

A: The production possibility curve shows the combination of output that can be produced in a country…

Q: What is allocative efficiency and how does it relate to the PPC

A: Production Possibility Curve or PPC represents all the combinations of two goods which can be…

Q: A farm grows soybean and produces chickens. The opportunity cost of producing each of these products…

A: Production Possibility Curve (PPC) is a graphical portrayal of two merchandise being created with…

Q: Graph the PPF and explain. A B C D E F Sanitizer(y) 100 95 85 65 35 0 Rice (x) 0…

Q: Explain The existence of an Economic problem

A: Economic problem is a situation where wants are unlimited and resources are scarce.Economic problem…

Q: The following graph shows the production possibilities frontier (PPF) of an economy that produces…

A: Opportunity cost is the forgone profit that the producer would have gained if he had selected the…

Q: A shift of the economy's production possibilities frontier (PPF) from PPF1 to PPF2 would occur as a…

A: A shift of the economy's production possibilities frontier (PPF) from PPF1 to PPF2 indicates an…

Q: How has COVID-19 affected a country’s ability to achieve production efficiency? Provide specific…

A: The production possibility curve indicates alternate combination of two goods which can be produced…

Q: Brian and Crystal are farmers. Each one owns an 18-acre plot of land. The following table shows the…

A: Brian and Crystal are farmers. Each one owns an 18-acre plot of land. From the table given, Brian…

Q: mework: Production Possibilities Frontier (Ch 02) 30 PPF Enter your search term 25 20 15 10 30 180…

A: Opportunity cost refers to decrease in quantity of one good to have more of other good. It shows how…

Q: Homework (Ch 03) Attempts: Keep the Highest: 3/4 2. Gains from trade Consider two neighboring island…

A: Opportunity Cost refers to the next best alternative of production foregone for producing a…

Q: Refer to Daisy's PPF. Assume Daisy got a pie making machine that allowed her to make 21 pies per…

A: Daisy has got new technology for the production of pies. She can either produce 21 pies or 20 tarts…

Q: Use the figure below to answer the following question. Capital goods (per person) A E B о…

A: The production possibility frontier represents the various combinations of goods that can be…

Q: Alice and Bob each produce haircuts and landscaping services. Alice can provide 4 haircuts in one…

A: A production possibility frontier (PPF) is a graphical representation that shows the maximum…

Q: Figure 1 shows the PPF for an economy that produces Food and Clothes. Which of the following…

A: We have given four production bundle Bundle A contains 50 food and 360 clothes. Bundle B contains…

Q: Explain the rationale underlying PPP theory.

A: An exchange rate refers to the value at which one currency can be exchanged for another currency. It…

Q: 264 144 48 50 170 320 440 500 Food

A: Because all the resources are used to produce food,0 clothes will be produced.

Q: Bread On the PPF above, which of the points is inefficient? A C D G Wine

A: Production Possibility Frontier:- The production possibility frontier refers to a graph in market…

Q: 2. What is a production possibilities frontier (ppf) for an economy? explain your answers with an…

A: The production possibility frontier (PPF) is a representation used to illustrate the maximum…

Q: Q2: There are two countries named Lilliput and Brobdingnag. We have the production possibilities…

A: Brobdingnag can produce more bananas than Liliput can (25 > 20), so Brobdingnag has absolute…

Q: Fire and Flower Holdings Corporation of Ottawa produce computer memory sticks. If the price of the…

A: When a business needs to produce more units of any commodity or service, it incurs additional costs,…

Q: Note: Dashed drop lines will automatically extend to both axes. Candonia 16 14 Consumption After…

A: Comparative advantage is an economy's ability to produce a particular good or service at a lower…

Q: If an economy begins to use its resources more effeciently, it will move further away from it PPf

A: Answer in step 2

Q: Which of the following normative criteria is concerned with the optimal mix of production among…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: What is neo-malthusians? What is anti-malthusians?

A: Neo-malthusians and anti-malthusians are two divisions of growth theories. The school of thoughts of…

Q: How can you interpret the PPF slope?

A: Production Possibility frontier (PPF) represents the trade-off between two goods. In order to…

Q: Country X is faced with the following output combinations for capital goods and consumer goods.…

A: Introduction Production possibility curve is a graphic representation of alternative production…

Q: Alex Selkirk's PPF is given below. The outputs represent what he can catch, or produce, in any given…

A: Opportunity cost:- The possible rewards that an individual, investor, or organisation lose out when…

Q: s The combination of 30 pounds of coffee beans and 12 pounds of nuts per day unattainable,…

A: Given information:Work time --Coffee/hourNuts/hourKrisha4 pound2 poundTom2 pound4 poundIf Krishna…

Concept explainers

Welfare Analysis

Welfare analysis of the society is related to welfare economics. From the economic point of view former welfare economics refers to that subject which uses the techniques of microeconomics to analyse and evaluate the welfare at the economic or aggregate level.

Question

Based on the PPF below, which point(s) is inefficient?
OUTPUT OF TRUCKS (per day)
10
8
7
5
4
W
2
A
A and B
C
X
12
X
B
C
3 4
OUTPUT OF TANKS (per day)
5 6 7 8 9 10

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduce the concept of production possibility frontier.

VIEW

Step 2: Determine which point is ineffecient.

VIEW

Solution

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Explaining the Production Possibilities Curve or PPF Explain the attainable and unattainable
The World Health Organization says that it is too costly to try to fully eradicate malaria. By using nets, medicine, and DDT it is possible to eliminate 90 percent of malaria cases. But to eliminate 100 percent of cases would be extremely costly. Describe how the opportunity cost of controlling malaria changes as more resources are used to reduce the number of malaria cases.
Briefly comment on the changes in GDP per capita and CO2 emissions from 2000 to 2020 for Thailand and Tajikistan, and implication of such changes
John and Sotiris live on trees in two different forests. They each have eight hours to work in a day. John can grow a Yam in 1 hour or raise a Zebra in 2 hours. Sotiris can grow a Yam in 2 hours or raise a Zebra in 4 hours. Both John and Sotiris consume equal numbers of Yams and Zebras. (a) Clearly draw and label PPFs for John and Sotiris and their consumption bundle in autarky, with Zebras on the vertical axis, showing how you calculated this. Define and find the opportunity cost of a yam on each island and discuss how it can be represented on each PPF. Does John or Sotiris have an absolute or comparative advantage in producing either Yams or Zebras? (b) Now suppose John and Sotiris can freely trade at a price of one Yam per Zebra. How much of each good will John and Sotiris produce and consume? How much better or worse off in percentage terms are John and Sotiris? How is this possible?
You are an elementary-school principal and have a budget of $1m per annum. You can spend this on teachers, each with a total salary and benefit cost of $50,000 per year. Or you can spend it on Free School Meals for students at a cost of $500 per student per year. To help make your budgetary choices you draw out the budget constraint. What is the opportunity cost in terms of students receiving free school lunches for a year for one more teacher?
See the image below for econ help.
38
Choose from the drop d
Explain three basic sources of deviations from PPP. Thanks.
What might happen to alligators in the south if the U.S. Fish and Wildlife Service were to reduce or eliminate the tags required to hunt alligators?
Q3) Illustrate the Production Possibility Frontier by graph from the table below and explain what will happen to the following changes: If the community decided to move from point C to D If they decided to move from E to D. If they want to produce 400 units from consumer goods and 400 units from capital goods. If they want to produce 500 units from consumer goods and 150 units from capital goods. Table shows the production possibility for total barely and lentils in Oman Point on PPT Consumer goods per year Capital goods per year A 600 150 B 500 250 C 400 350 D 300 400 E 200 500
Cars B 80 Which points are attainable? Points A, B, C, D, and E Points A, B, C, F, and G OF OG PPF Airplanes