Bibliography: Macroeconomics textbook
Bibliography: Macroeconomics textbook
The production possibilities frontiers above show the production possibilities for two goods produced in the Macro and Micro Islands using the same resources. From these curves, we can determine that…
The efficient frontier is the set of efficient portfolios out of the full set of potential portfolios. On a graph, the efficient…
The production possibilities frontier illustrates scarcity through showing us that if there is a production point beyond the PPF then, it is unattainable. Meaning, we can’t make a lot of everything due to how we allocate our resources. We could make a lot of scarves but then we’d have to give up gloves and vice versa.…
| Suppose an economy produces two goods, food and machines. This economy always operates on its production possibilities frontier. Last year, it produced 50 units of food and 30 machines. This year, it is producing 55 units of food and 33 machines. Which of the following events could not explain the increase in output? Answer | |…
Production Possibilities Curve Unit 1 : Macroeconomics National Council on Economic Education http://apeconomics.ncee.net Production Possibilities Curve Constant Opportunity Cost Decreasing Opportunity Cost Unit 1 : Macroeconomics National Council on Economic Education http://apeconomics.ncee.net Absolute Advantage and Comparative Advantage • ABSOLUTE ADVANTAGE One individual or nation can produce more output with the same resources as another individual or nation. • COMPARATIVE ADVANTAGE One individual or nation can produce a good at a lower opportunity cost than another • EXAMPLES OF COMPARATIVE ADVANTAGE Economics professor and secretary Auto mechanic and medical doctor Unit 1 : Macroeconomics National Council on Economic Education http://apeconomics.ncee.net…
15) A country's consumption possibilities frontier can be outside its production possibilities frontier if __________.…
According to the graph below, if a country is currently producing at point X, the opportunity cost of producing another consumer good is…
b. See Figure 1. If all ten million workers produce two cars each, they produce a total of 20 million cars, which is the vertical intercept of the production possibilities frontier. If all ten million workers produce 30 bushels of wheat each, they produce a total of 300 million bushels, which is the horizontal intercept of the production possibilities frontier. Because the trade-off between cars and wheat is always the same, the production possibilities frontier is a straight line.…
What is a production possibilities frontier used for? Showing all the possible combinations of any two goods and services that can be produced using available resources and technology.…
2. Firm is losing money in producing the last unit if the last unit produced has a…
5. Can you explain why the answers to parts 3. and 4. above are not the same? What does this imply about the slope of the production possibility frontier?…
18) Lawns produce no crops but occupy more land (25 million acres) in the United States than any single crop, such as corn. This means that the United States is operating inefficiently and hence is at a point inside the production possibility curve. Right? If not, what does it mean?…
3.|The production possibilities frontier illustrates: A. |current production levels.|B. |a society's level of consumption.|C. |a range of alternative levels of output.|D. |decisions on how to produce.||…
The production possibilities curve is a hypothetical model of an economy that produces only two products. For example: Capital goods vs consumer goods…
(9)Definitions and differences between the Deductive or A Priori Method and the Inductive or Empirical Method of analyses…