The above table shows production points on Sweet - Tooth Land's production possibilities frontier. Which of the following is an example of a point that is inefficient? OA. 0 chocolate bars and 100 cans of cola OB. 38 chocolate bars and 0 cans of cola OC. 32 chocolate bars and 40 cans of cola OD. 20 chocolate bars and 80 cans of cola GALLE
Q: The tue curve on the following graph represents the demand curve facing a fires that can set its own…
A: The demand curve shows the relationship between the price and quantity demanded. According to the…
Q: 2. Winners and losers from free trade Consider the Imaginary economy of Meekerton and the market for…
A: International trade refers to the exchange of goods and services between different countries of the…
Q: Mateo works eight hours per day. Today he has to decide whether to work overtime and stay one more…
A: Understanding Mateo's decision-making process involves evaluating the trade-off between working…
Q: During 2009, the Federal Reserve was easing monetary policy in an attempt to boost the economy. That…
A: Monetary policy refers to the actions undertaken by a country's central bank, typically in…
Q: Suppose that two supply curves pass through the same point. One is steep, and the other is flat.…
A: The question is asking us to compare two supply curves, one steep and one flat, that intersect at…
Q: what is marcoeconomic?
A: Macroeconomics is the branch of economics that focuses on the study of the economy as a whole. It…
Q: Suppose a person who lives for T years and decides her demand for consumption goods C and E…
A: Intertemporal Budget Constraint: It represents the total resources available to the individual over…
Q: The table shows the CPI in Calbia. Calculate the inflation rates in 2018 and 2019. Did the CPI rise…
A: CPI is the consumer price index. The CPI is used to calculate the inflation rate. The CPI is…
Q: Given the following net rents for years 1-5 and a required return of 10%, what is the effective…
A: To calculate the effective rent considering a required return of 10%, we can use the concept of Net…
Q: (Figure: Market for Sustainable Furniture) Consider the market for furniture made from sustainable,…
A: This can be defined as a concept that shows the total demand for the products and services in a…
Q: The deadweight loss in a monopoly occurs because: A. The monopolist produces less than the socially…
A: Monopoly Market:The firm in the monopoly competition has the dominant power in terms of competitive…
Q: (Figure: Determining Surplus and Loss) In the graph, if the government sets a minimum price of $12,…
A: Market equilibrium refers to a scenario at which the quantity demanded is equal to the quantity…
Q: 11. Understanding subsidies Suppose that in an attempt to protect its domestic movie industry, New…
A: Here we have to find out the impact of subsidies given to consumers.Subsidy: A government or…
Q: 4 ns) 80 Tahiti 400 Milk (gallons) Honey (gallons) 540 0 Bora Bora 360 (gal ure 2-10 shows the…
A: Bora Bora can produce 360 gallons of milk and 540 gallons of honey.To calculate the opportunity cost…
Q: Suppose that the album producers put it on sale for $6 each. How much will be the surplus There…
A: Answer : a) At $6 price level the quantity demanded is 65 albums and quantity supplied is 50…
Q: The accompanying graph contains the production possibilities frontier (PPF) for Rubberland.…
A: A production possibility frontier (PPF) shows the maximum possible output combinations of two goods…
Q: The US imposed tariffs a few years ago on Chinese solar cells or panels that mostly range between 34…
A: Dumping is a practice in international trade where a company exports goods to another country at a…
Q: Use the following information to answer the next question. Security Treasury bills Corporate bonds…
A: The public debt is defined as the deficit that is experienced by the government over a specific…
Q: Assumptions of rationality are violated because Choose one: A. both low-probability events…
A: Rational behavior is the cornerstone of rational choice theory, as per the theory of economics that…
Q: Marla has $7.00 to spend on breakfast. Unfortunately, the snack bar in the building where she works…
A: Marginal utility refers to the extra satisfaction a consumer receives from consuming one more unit…
Q: Smith and Jones comprise a two-person economy. Their hourly rates of production are shown below.…
A: The potential benefit/gain that an individual, business, or investor gives up when choosing one…
Q: B. Calculate the price elasticity of demand for large drinks. (Show your work) Last month= $6.00…
A: The price elasticity is calculated as the percentage change in quantity demanded divided by the…
Q: 1. Use the dataset "hpricel" (of the Wooldridge package) to estimate the model: Bo+Bisqrft + B₂bdrms…
A: The objective of the question is to estimate a multiple regression model using the dataset 'hpricel'…
Q: The acquisition of a "cash - rich" company allows the acquiring company Select one:A. to reduce…
A: The acquisition of a "cash-rich" company refers to the strategic move of one company acquiring…
Q: Describe how the CPI is calculated. How might the CPI overstate the true increase in cost of living?…
A: Consumer Price Index (CPI)CPI is important because it provides governments, individuals, and…
Q: Suppose that the figure given below depicts the demand for grape oil, which can be purchased in any…
A: When the price that a consumer is willing to pay is more than what the consumer actually pays, that…
Q: Consumption expenditures Imports Government purchases of goods and services Construction of new…
A: Gross Domestic Product is the monetary measure of the goods and services in an economy. The…
Q: 3. In the following diagrams, the black dots represent points where the illustrated lines are…
A: Normal good: If the demand for a product increases as consumer income rises and demand decreases as…
Q: Figure: Demand for Coconuts Price of coconuts E A D3 8 D2 D₁ Quantity of coconuts Use Figure: Demand…
A: A rise in consumer income is associated with a rise in demand for consumer products classified as…
Q: The table shows Fashionland's production possibilities. >>> Round your answers at the 2nd decimal…
A: ProbabilityDressesHatsA072B3066C5252D6630E720
Q: Extreme efficiency comes at a cost of terrible inequality, while perfect equality comes at a cost of…
A: Efficiency refers to the utilization of resources in the absolute most productive manner. This…
Q: 10. (Figure: Wireless Keyboard Market) Look at the figure Wireless Keyboard Market. Calculate the…
A: Market equilibrium(E) is the point where the quantity(Q) of services or products supplied equals the…
Q: Assume that the amount of dollar (domestic) assets is fixed in the foreign exchange market. Explain…
A: The objective of the question is to understand the impact of an increase in domestic interest rates…
Q: 4. Why is it important to have a separation between Central Banks and the government? Is it overly…
A: Preserving a distinct separation between Central Banks and the government is fundamental to the…
Q: b. Now, on the same graph, illustrate the market for beer with the per-case tax on consumers. Show…
A: The topic centers on the idea of how taxes influences a market, notably the beer industry. It…
Q: 3. A local contractor is considering the production of the fireworks. The variable cost per unit is…
A: In economics, production is the most common way of making goods and services. It refers to the…
Q: Suppose that an economy begins in equilibrium at E, as depicted in the graph to the right. Assume…
A: Aggregate demand refers to overall demand of goods and services by an economy in a period of time.…
Q: At the local ice cream parlour, the price elasticity of demand for ice cream cones is -1.5 at the…
A:
Q: A university spent $2 million to install solar panels atop a parking garage. These panels will have…
A: The breakeven point for an exchange or not entirely set in stone by contrasting the market cost of…
Q: Create an original graph in equilibrium like the one in the last problem. Label everything,…
A: Note: Since you have posted a question with multiple sub-parts, we will provide the solution only to…
Q: Suppose certain fireworks are legal in a residential area on the Fourth of July. The fireworks have…
A: Willingness to pay (WTP) refers to the max amount of cash that a person is willing and able to spend…
Q: 2. Profit maximization of a seller in a competitive price-searchermarket Consider Unico Doughnut, a…
A: Here we have to findout the profit/Loss of a firm in perfectly competitive industry.A firm in…
Q: Oa. 6,000. b. 5,500. O c. 5,000. O d. 4,500. Table 2-1 Production Possibilities Tennis Rackets…
A: PPF is the production possibility frontier. PPF shows the production possibility of two goods in an…
Q: Which of the following best defines a sunk cost? A. Costs that have already been incurred and…
A: The question focuses on identifying the most accurate definition of a sunk cost. Sunk costs are a…
Q: Suppose Iyana operates a handicraft pop-up retail shop that sells rompers. Assume a perfectly…
A: The perfectly competitive markets have a given price which corresponds to the presence of identical…
Q: 8. Consider the market for the Mona Lisa painting given by the following demand and supply curves:…
A: The demand equation of the Mona Lisa painting is P=1000−50QD The supply of the Mona Lisa…
Q: Suppose the market below is in equilibrium. How much would consumers benefit on net from…
A: The demand curve is the downward-sloping curve. The supply curve is the upward-sloping curve.The…
Q: Assume that the city government of Pollutersville taxes the production of electricity in an effort…
A: The air pollution is produced during the production of electricity as a by-product. The people of…
Q: a) state the maximization problem solved by each type of agent and derive the fist order and second…
A: Evaluating for Type 1 agentMaximization Problem: Subject to: First-Order Conditions…
Q: A small company heats its building and spends $9 comma 000 per year on natural gas for this purpose.…
A: Growing annuity is a type of cash flow in which every upcoming payment will grow by a certain…
Step by step
Solved in 3 steps with 1 images
- What is productive efficiency? Allocative efficiency?Wichita — Farmers in Kansas, the biggest US producerof wheat, are abandoning their crops damaged by severedrought and cold.Some are spraying wheat fields with crop-killingchemicals and claiming insurance payouts in the beliefthat it is not worth harvesting the little grain that thereis, Reuters found on a three-day tour of the state. Othergrowers let cattle graze on the dismal-looking fields.Abandoning fields will reduce the crop of the world’sfifth-largest wheat exporter, with stocks expected to fallto a 16-year low. Large-scale abandonment deals aneconomic blow to farm towns and force wheat buyersto adjust procurement plans by buying the staple grainelsewhere.Nationally, winter-wheat farmers plan to abandon 33%of the acres they planted, the highest percentage sinceWorld War 1, the US department of agriculture said ina May 12 report.Kansas farmers are expected to abandon about 19% ofthe area planted last autumn, up from 10% in 2022 and4% in 2021, according to the report. But farmers,…Wichita — Farmers in Kansas, the biggest US producerof wheat, are abandoning their crops damaged by severedrought and cold.Some are spraying wheat fields with crop-killingchemicals and claiming insurance payouts in the beliefthat it is not worth harvesting the little grain that thereis, Reuters found on a three-day tour of the state. Othergrowers let cattle graze on the dismal-looking fields.Abandoning fields will reduce the crop of the world’sfifth-largest wheat exporter, with stocks expected to fallto a 16-year low. Large-scale abandonment deals aneconomic blow to farm towns and force wheat buyersto adjust procurement plans by buying the staple grainelsewhere.Nationally, winter-wheat farmers plan to abandon 33%of the acres they planted, the highest percentage sinceWorld War 1, the US department of agriculture said ina May 12 report.Kansas farmers are expected to abandon about 19% ofthe area planted last autumn, up from 10% in 2022 and4% in 2021, according to the report. But farmers,…
- If 10 million toy cars are sold. which means that: The production of toy cars is currently at an inefficient level, and to reach efficiency more should be produced. From the data given it is impossible to tell if toy cars are being produced at the efficient level. O The production of toy cars is currently at an inefficient level, and to reach efficiency less should be produced. The production of toy cars is currently at the efficient level. IF 30 million toy cars are sold, - vwhich means that: The production of toy cars is currently at an inefficient level, and to reach efficiency more should be produced. O From the data given it is impossible to tell if toy cars are being produced at the efficient level. The production of toy cars is currently at the efficient level. The production of toy cars is currently at an inefficient level, and to reach efficiency less should be produced. The optimal allocation of resources would result in the production of toy cars.Society's Production-Possibilities Frontier Quantity of Guns 987 65 4 3 2 1 0 D B C A 0 20 40 60 80 100 120 Quantity of Butter In the graph above, which point represents an inefficient combination of guns and butter? O a. B O b. C C. A d. DThe graph shows the market for paper. The government passes a new law that limits the quantity of paper that producers sell to 40 tons of paper a day. C because This market for paper is O A. efficient; production is greater than zero O B. inefficient; the marginal cost of the 40th ton of paper is greater than the marginal benefit from the 40th ton of paper inefficient; more paper could be produced O C. O D. inefficient; the marginal benefit from the 40th ton of paper is greater than the marginal cost of the 40th ton of paper O E. efficient; the marginal cost of the 40th ton of paper equals the marginal benefit from the 40th ton of paper Draw the deadweight loss when production is 40 tons of paper a day. Label it. 20.00 18.00- 16.00- 14.00- 12.00- 10.00- 8.00- 6.00+ 4.00- 2.00- Price (dollars per ton) 6.00 0.00+ 0 S ID 40 60 80 100 120 Quantity (tons per day) >>> Draw only the objects specified in the question. 20 OU 140
- A nomadic tribe in Lapland spends all its productive time hunting reindeer. Someof the reindeer meat is kept for consumption and the remainder is sold at a nearbytrading station in return for other goods. It is observed that when the price ofreindeer meat increases the amount the tribe is willing to supply decreases.(a) Sketch this situation in a diagram, with axes ‘reindeer meat’ and ‘all othergoods’. (Hint: locate the production position and sketch the consumptionopportunities line before and after the price change).(b) Determine if reindeer meat is an inferior good to the tribe?(Hint: consider what happens to the consumption position).(c) How does the analysis change if the tribe can hunt and trade fish as well as thereindeer? (Hint: now label the axes ‘reindeer meat’ and ‘fish’ and considerboth the production and consumption decisionsEM.35 Which of the following is most likely to happen as an economy moves along a production possibility frontier producing more services and fewer goods? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a marginal costs of producing more services will rise, but allocative efficiency may increase. b marginal costs of producing more services will decrease, but allocative efficiency may increase. c marginal costs of producing more services will rise and allocative efficiency will decrease as a result. d marginal costs of producing more services will decrease and the allocative efficiency will increase as a result.Ryanair is considering offering dascounted flights from New York to Honolulu. The airlıne is offering a free round-trip ticket ko Hawata to the firu 600 people who show up at the new Hoedulu canunter in the aırline's main officT, starting Menday, the first day of basiness. You arrive 24 hours before it Es scheduled to open to be sure to get the free ticket, and you buy food from airport vendors whule waiting in line You successfully cbeaum the ticket What was the cost to you of obtainang the teket O the actual valae of the ticket the cost of food while you waited in line O the cost of ford while yuu wasted in line and the opportunity cost of the time you spent in line the actual value of the tacket and the cost of food while you waited in line
- The graph shows the market for cashews. What is the equilibrium price of cashews? What is the equilibrium quantity of cashews? Is the market for cashews efficient or inefficient? Why? CIER The equilibrium price of cashews is $ a pound and the equilibrium quantity of cashews is pounds. The market for cashews is O A. inefficient only if the cost of growing all the cashews is an average of $6.00 a pound OB. efficient because the marginal benefit of cashews equals the marginal cost of producing them, which is $6.00 a pound OC. inefficient because growers of cashews receive a large producer surplus O D. efficient because the benefit of each pound of cashews consumed equals the cost of growing it OE. efficient only if the total benefit of the cashews equals $6.00 a pound billion A 12.00- 10.00- 8.00- 6.00+ 4.00- 2.00- 0.00+ 0 Price (dollars per pound) S 3 9 12 6 Quantity (billions of pounds per year) D 15 Q Qert 12 I U ab x, x² Po ords dy Draw Design Layout DA Aa A A W Econ week 4 No Label Saving... V Font 3 v E B 1 2 Units of Variable Input 3 5 8 References Mailings Review E-6-5- == 無 無 無 E AF $ 4 B-21 ¶ Paragraph 1 . ▬ 2 R 2.5 Lx Text Predictions: On Accessibility: Investigate Price/Unit Total Cost of Input 3 4.5 6 Search 2 % I a. Calculate the total input cost and the marginal input cost. 5 T O Search View Help F5 Normal A 6 b. If the marginal value or marginal revenue products were 4, what would be the profit- maximizing level of input? 3 Marginal Input Cost - Y No Spacing Heading & 887 Styles * 7 F7 *00 99+ 4 5 6 V 8 8 1 << ( F 9 F 1 Editing V W Dictate O Voice K 2 Focus d Wine, Melany Commen Sensitivity Sensitivity @Suppose Alphonsos town raised the price of bus tickets to 1 per trip (while file price of burgers stayed at 2 and his budget remained 10 per week.) Draw Alphonsos new budget constraint. What happens to file opportunity cost of bus tickets?