Macmillan LearningThe accompanying graph shows the production possibilitiesfrontier (PPF) for Rubberland. Rubberland only makes twoproducts, rubber band balls and rubber hoses. The PPF showsthe quantities of rubber band balls and rubber hosesRubberland can produce in one day. Point A represents thecombination of the two goods Rubberland currentlyproduces.When a new method of rubber processing is discovered, theproductivity of all Rubberland's inputs increases. Shift thePPF to show this change.Assume that Rubberland does not make more rubber bandballs than it originally made at point A but still maximizes itsoutput. Move point A to the new combination of the twogoods.How many more rubber hoses does Rubberland now produceper day than before?Quantity of rubber band balls200180160140120100Rubberland's Production PossibilitiesA80604064220PPF0010302040506070Quantity of rubber hoses8090 1008020more hoses per day

20 more rubber hoses per day will produce due to increase in productivity

Answered: Macmillan Learning The accompanying…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Suppose the fictional country of Everglades produces only two goods: sorghum and telephoto lenses. The following graph plots Everglades's current production possibilities frontier, and includes six different output combinations given by black points (plus symbols) labeled A to F. 80 PPF 60 K E + 40 20 A B C D 100 TELEPHOTO LENSES (Millions) Point Inefficient E F 0 0 ++ Complete the following table by indicating whether each point represents output combinations that are inefficient, efficient, or unattainable. Check all that apply. 0 C r 20 0 60 SORGHUM (Millions of bushels) Efficient 00 0 40 0 X8 C D Unattainable 0 0 00 80 100
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Production Possibility Frontier (PPF) - This graph shows the maximum combination of two goods that an economy can produce, given its resources and technology. It is used to illustrate the concept of opportunity cost and to explain the trade-offs that must be made when choosing how to allocate resources. Show this graph with an example please.
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Suppose there exist two imaginary countries, Sequoia and Denall. Their labor forces are each capable of supplying four million hours per week that can be used to produce almonds, shorts, or some combination of the two. The following table shows the amount of almonds or shorts that can be produced by one hour of labor. Almonds Country (Pounds per hour of labor) Sequoia Denall Suppose that initially Denall uses 1 million hours of labor per week to produce almonds and 3 million hours per week to produce shorts, while Sequoia uses 3 million hours of labor per week to produce almonds and 1 million hours per week to produce shorts. As a result, Sequola produces 12 million pounds of almonds and 16 million pairs of shorts, and Denall produces 6 million pounds of almonds and 36 million pairs of shorts. Assume there are no other countries willing to engage in trade, so, in the absence of trade between these two countries, each country consumes the amount of almonds and shorts it produces.…
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