Micro Chapter 2 Homework (1) - Copy (1)

Discuss a consequence scarcity has on our lives. Ideas that you may want to consider and discuss are choices, unlimited wants, the three economic questions, and limited resources.

Explain the concept of scarcity in general and further indicate how this is critical to the success of a business.

"What is Economics?" Please respond to the following: 1. Identify a recent purchase that you made, recently, and determine how scarcity influenced your purchase decision. 2. Give an example of how scarcity of a product would have an impact on a microeconomic level. Please explain your rationale.

Some large hardware stores such as Home Depot boast of carrying as many as 20,000 different products in each store. What motivated the producers of those individual products to make them and offer them for sale? How did the producers decide on the best combinations of resources to use? Who made those resources available, and why? Who decides whether these particular hardware products should continue to be produced and offered for sale?

Discuss the difference between economic value and social value or the shared value creation framework. Why do you think organizations tend to focus on the creation of one type of value but not both?

Suppose a nation has a total of 12 units of labor, which can be used to produce either guns or butter. One gun takes 6 units of labor to produce and 1 butter takes 2 units of labor to produce.  Explain why scarcity exists in this economy. Use the data as evidence of your reasoning.  What is the maximum quantity of guns that can be produced?  What is the maximum quantity of butter than can be produced?  Draw the nation’s production possibility curve.  What is the opportunity cost of guns in this nation?  Explain why the nation can’t produce both 3 guns and 4 butters.  Explain why the nation shouldn’t produce both 1 gun and 2 butters.

List and discuss in detail (thoroughly and carefully), two examples of the scarcity that you have faced this month.

Business anca Ayon Action Chapter 2 Understanding Basic Economics Copyright © 2017, 2015, 2013 Pearson Education, Inc. All Rights Reserved Learning Objectives (1 of 2) 2.1 Define economics, and explain why scarcity is central to economic decision making. 2.2 Differentiate among the major types of economic systems. 2.3 Explain the interaction between demand and supply. Copyright © 2017, 2015, 2013 Pearson Education, Inc. All Rights Reserved What Is This Thing Called The Economy? (1 of 1) Economy - The sum total of all the economic activity within a given region Introd . This chapter off - A brief introduction professional's perspec - A high-level look at the stu economic systems, and the demand • Understanding basic economi successful business managen Copyright © 2017, 201 Learning Objectives (2 2.4 Identify four macroeconom understanding the behavior of 2.5 Outline the debate over de key roles that governments pla 2.6 Identify the major ways of Copyright © 2017, 2 What Is This Thing C…

Graph 1: Draw a production possibilities model with 4 points labeled A, B, C, D, one inside, two on, and one outside the production possibilities curve. Explain the 4 points in terms of scarcity, choice, and efficiency.  Graph 2: Draw a production possibilities model which illustrates economic growth.  Graph 3: Draw a production possibilities model and using your own numbers, explain the concept of the law of increasing opportunity cost.  Graph 4: Draw a production possibilities model for North Korea and label the Y axis Guns, and the X axis Butter.  Put two points, A and B, on the curve.  Using the two points, explain the concept of government (or market) failure.

Suppose a nation has a total of 12 units of labor, which can be used to produce either guns or butter. One gun takes 6 units of labor to produce and 1 butter takes 2 units of labor to produce.ElucidateExplain why scarcity exists in this economy. Use the data as evidence of your reasoning.What is the maximum quantity of guns that can be produced?What is the maximum quantity of butter than can be produced?Draw the nation’s production possibility curve.Explain why the nation can’t produce both 3 guns and 4 butters.Explain why the nation shouldn’t produce both 1 gun and 2 butters.

1. How can we apply the core principles of scarcity, choice, opportunity cost and cost-benefit analysis to the decision-making processes? 2. Explain the difference between micro economics and macroeconomics. 3. Demonstrate an understanding of the coordinate system by using it to outline the relationship between economic variables.

What is Economic System? And what system is the best system your community will use and implement to address scarcity, as an Economic Manager?

Scarcity limits the volume of goods that an economic system can produce but does not limit the production of services. True or false

According to our reading, what does the term Creative Destruction mean? Multiple Choice None of the above. It refers to the process of how new technology or ideas replaces old technology or ideas. When the government taxes profits at a high level, then businesses will be destroyed. It means that the economy is ruined and is suffering an economic depression.

What is the production possibilities frontier?    A. a map that shows areas of the world in which capitalist production is highest  B. a map that shows the frontier beyond which technological innovation is unprofitable  C. a graph that shows the various combinations of resources that can be used to produce a given level of output  D. a graph that shows the various combinations of output the economy can possibly produce given the available resources and technology

Write TRUE if the statement is right and FALSE if it is wrong:   _____    9. We run into scarcity due to the fact that people have limited wants.                            _____     10. People need to allocate resources efficiently because resources are limited to meet peoples unlimited wants.

A fast-food company spends millions of dollars to develop and promote a new hamburger on its menu only to find that consumers won't buy it because they don& like the taste.  From an economic perspective, the company should keep the hamburger on the menu because they spent so much money and time developing and promoting the product.        spend more money to develop a more efficient way to cook the hamburger so it cooks in a shorter time.        pull the hamburger off the menu and treat the development and promotion expenditures as a sunk cost.        keep trying to sell the hamburger so that people who developed and promote it have a job with the company.

Economics can be defined as the study of how people, businesses, governments, and societies Make choices to deal with scarcity. Engage in trade to increase their wealth. Choose abundance over scarcity. Use their infinite resources to maximize satisfaction.

Which statement best describes how scarcity is an important part of business economics? Scarcity permits consumers to establish the cost at which producers will manufacture goods. Scarcity forces consumers and producers to consider the opportunity costs of decisions. Scarcity forces producers to reduce supply to meet consumer demand. Scarcity allows consumers and producers to avoid distinguishing between needs and wants.