Question 18 4) Listen Some agricultural sub-Saharan nations of Africa have overfarmed and overgrazed their land to the extent that significant portions of it have turned into desert. This suggests that: O a) the production possibilities curves of such nations have shifted inward. O b) the production possibilities curves of such nations have shifted outward. c) the concavity of the production possibilities curves of such nations has increased d) these nations are operating at some point outside of their production possibilities curves.

Question 18 4) Listen Some agricultural sub-Saharan nations of Africa have overfarmed and overgrazed their land to the extent that significant portions of it have turned into desert. This suggests that: O a) the production possibilities curves of such nations have shifted inward. O b) the production possibilities curves of such nations have shifted outward. c) the concavity of the production possibilities curves of such nations has increased d) these nations are operating at some point outside of their production possibilities curves.

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

Possibility Movie Tickets (M) Chocolate Truffles (C) (units) (units) A 60 0 B 40 35 с 20 45 D 0 50 Consider the above PPF. What is the opportunity cost of 1 unit of chocolate truffles as the island moves from possibility A to possibility B? O 4/7 units of movie tickets O 7/4 units of movie tickets O 20 units of movie tickets O 7/8 units of movie tickets
30)
In the production possibilities frontier depicted in the figure above, what is the opportunity cost of increasing the production of bananas from two million pounds to three million pounds? Use a production possibilities frontier to analyze opportunity costs and trade-offs. Hats (millions per year) 5 4 3 2 1 0 1 2 3 4 5 6 Bananas (millions of pounds per year) O 1/2 million hats 1 million hats O 2 million hats O 3 million hats
Refer to the production possibility frontiers for two friends Frodo and Sam who can both produce Ice creams and Jelly beans. Frodo's maximum production of Ice creams is 500 with no Jelly beans, or 2,000 Jelly beans with no Ice creams. Sam's maximum production of Ice creams is 600 with no Jelly beans, or 1,200 Jelly beans with no Ice creams. ICE CREAMS ICE CREAMS 600 500 1200 JELLY BEANS 2000 JELLY BEANS Frodo' PPF Sam's PPF Answer briefly these TWO questions in the box space provided below. Part A: Assuming efficient production without trade, derive the maximum amount of Jelly beans that can be produced by Sam along with 300 Ice creams. Describe your steps in detail. Part B: Assume that Frodo and Sam agree to specialize in production and trade between themselves. Frodo offers 1,000 Jelly beans to Sam in exchange for 300 lce creams. Would Sam agree to this trade?
7. Specialization and production possibilities Suppose Scotland produces only smart watches and cell phones. The resources that are used in the production of these two goods are not specialized -that is, the same set of resources is equally useful in producing both cell phones and smart watches. The shape of Scotland's production possibilities frontier (PPF) should reflect the fact that as Scotland produces more cell phones and fewer smart watches, the opportunity cost of producing each additional cell phone The following graphs show two possible PPFs for Scotland's economy: a straight-line PPF (PPF₁) and a bowed-out PPF (PPF2). SMART WATCHES PPF ₁ Graph 1 CELL PHONES ? SMART WATCHES PPF₂ Graph 2 CELL PHONES (?) Based on the previous description, the tradeoff Scotland faces between producing cell phones and smart watches is best represented by
Suppose that United States is currently producing two goods: tanks and cars using its current resources. As the country is preparing for a war, it intends to produce more tanks and to do so, it starts coverting its car factories into tank factories. Which of the following is true? O The production possibilities curve will show the increasing opportunity costs as more tank is produced. The production possibilities curve for cars and tanks will shift outward. O The production possibilities curve will show decreased opprotunity costs as more tank is produced. O The production possibilities curve will shift inward.
25. Assuming labor is the only resource and England has 60 man-hours (mhrs) and Portugal 180 mhrs of labor resource available for production, which country has the comparative advantage in wine? a) Portugal b) England c) Both d) Neither e) Cannot tell
2. Suppose that two countries can produce wheat or cotton. If country A produces only wheat it can produce 55 units of wheat, and if it produces only cotton it can produce 35 units of cotton. If country B produces only wheat it can produce 65 units of wheat, and if it produces only cotton it can produce 45 units of cotton. Given the production possibilities curves above, which of the following would be feasible terms of trade between country A and country B? a. one unit of wheat for 0.75 unit of cotton. b. one unit of cotton for 1.5 units of wheat. c. one unit of wheat for 0.55 unit of cotton. d. one unit of cotton for 1.67 units of wheat. e. all of the above are feasible terms of trade. f. none of the above are feasible terms of trade.
14..