Mid- sem1. Assume that the schedule below describes the production possibilitiesconfronting an economy.Using the information from the table?(a) Draw the production possibilities curve .be sure to label each alternativeoutput combination(A through B)(b) Calculate and illustrate on your graph the opportunity cost of producingone CD player per week?(c) What is the cost of producing a second CD player? What might account forthe differences?(d) Which point on the curve is the most desired one? How will we find out?Potential weeklypianosCD playersOutput combinationsA1091C7243E4Q2: if taxes on the rich were raise to provide housing for the poor, howwould the willingness to work be affected? What would happened to totaloutput?Q3: Ghana currently allocated four (4) percent of our resources to militaryoutput.Is this too much or too little, how can we decide?Q4: Utility companies routinely ask state commissions for permission toraise utility rates. What does this suggest about the price electricity of DD?Why is demand so in (elastic)?Q5: if you were promoting a new music group, how could you decide whatprice to charge for concert tickets?Q6: is it possible to have a great taste for French cooking and still eat McDonald's?What is the relationship of taste, income, prices and consumer behavior inthis case?

(Note: Since there are many questions with multiple parts, only the first three parts of the first…

1. Assume that the schedule below describes the production possibilities confronting an economy. Using the information from the table? (a) Draw the production possibilities curve .be sure to label each alternati output combination (A through B) (b) Calculate and illustrate on your graph the opportunity cost of producin one CD player per week? (c) What is the cost of producing a second CD player? What might accoun the differences? (d) Which point on the curve is the most desired one? How will we find ou Potential weekly pianos CD players Output combinations

1. Assume that the schedule below describes the production possibilities confronting an economy. Using the information from the table? (a) Draw the production possibilities curve .be sure to label each alternati output combination (A through B) (b) Calculate and illustrate on your graph the opportunity cost of producin one CD player per week? (c) What is the cost of producing a second CD player? What might accoun the differences? (d) Which point on the curve is the most desired one? How will we find ou Potential weekly pianos CD players Output combinations

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter2: Economic Tools And Economic Systems

Section: Chapter Questions

Problem 3.7P

See similar textbooks

Similar questions

During the Second World War, Germanys factories were decimated. It also suffered many human casualties, both soldiers and civilians. How did the war affect Germanys production possibilities curve?
What are the similarities between a consumers budget constraint and societys production possibilities frontier, not just graphically but analytically?
What does a production possibilities frontier illustrate?
Below is a production possibilities table for consumer goods (automobiles) and capital goods (forklifts): a. Show these data graphically. Upon what specifific assumptions is this production possibilities curve based?b. If the economy is at point C, what is the cost of one more automobile? Of one more forklift? Explain how the production possibilities curve reflfl ects the law of increasing opportunity costs.c. If the economy characterized by this production possibilities table and curve were producing 3 automobiles and 20 fork lifts, what could you conclude about its use of its available resources?d. What would production at a point outside the production possibilities curve indicate? What must occur before the economy can attain such a level of production?
Below is the production possibilities table for consumer goods (maize) and capital goods (tractors):Type of productionProduction possibilities A B C D Emaize 30 27 21 12 0Tractors 0 2 4 6 8i. Show these data graphically. ii. If the economy is at point C, what is the cost of one more unit of maize? iii. Suppose improvement occurs in the technology of producing tractors but not in the technology of producing maize. Draw the new production possibilities curve. iv. Now assume that a technological advance occurs in producing maize but not in producing tractors. Draw the new production possibilities curve. v. Now draw a production possibilities curve that reflects technological improvement in the production of both goods.
The following is a production possibilities table for war goods and civilian goods: Production alternatives A B C D E Automobiles 0 2 4 6 8 (in millions) Guided missiles 30 27 21 12 0 (in thousands) •Show these production possibilities data graphically. •What does points on the curve indicate? •If the economy is currently at point C, what is the cost of 1 million more automobiles? Of more guided missiles? •Suppose improvement occurs in the technology of producing guided missiles but not in the production of automobiles. Draw the new production possibilities curve
Problem 3Suppose the following data reflect the production possibilities for providing healthcare and education:Units per YearHealth Care 400 370 330 270 190 100 0Education 0 20 40 50 60 70 80(a) Graph the production possibilities curve.(b) If maximum health care is provided, how much education will be provided?(c) What is the opportunity cost of increasing health care from 270 to 330 units?
The data below describe the current production possibilities for an economy that produces two goods: Livestock Products and Aquaculture products Quantities that can be produced per month with the currently available resources Aquaculture products 6000 5900 5700 5400 5200 4100 Livestock products 0 100 200 300 350 500 Label point A B C D E F Required: (a) Explain the existence of opportunity costs in this situation. (b) Plot the PPF. Put Livestock goods on the vertical axis; Aquaculture on the horizontal axis. Label the points. Be sure each axis is to scale. Scales can differ between axes. (c) “Your PPF slopes down because of tradeoffs.” Explain that sentence in words that make sense to someone not taking economics.
1a. What is a Production Possibilities Frontier (PPF)? Consider an economy with only two goods: guns and butter. Show the tradeoff between the production of guns and the production of butter by drawing a (bowed outward) PPF (use gun production on the horizontal axis and butter production on the vertical axis). b. In what ways does the PPF reflect: i. scarcity and choice; and ii. increasing opportunity cost? c. How would the PPF be affected by a technological improvement in the production of guns? Solve all this question......you will not solve all questions then I will give you down?? upvote..
Question. Using the table below, answer the questions that follow it. A B C D EPizza 0 1 2 3 4Robot 20 18 14 8 0 a. What are the assumptions for a given production possibilities curve? b. What is the opportunity cost of one pizza when moving from B to point C? What moving from D to point E? c. Do these combinations demonstrate constant or increasing opportunity costs?
Orange(tons) Apple(tons)A 1400 0B 1100 450C 900 900D 600 1200E 250 1600F 0 2000a. Plot the production possibilities curve for the production of orange and apple. Put orange on the horizontal axis. b. What is the opportunity cost of increasing the production of orange from 0 to 250? From 900 to 1100? c. Given this production possibilities curve, is producing 900 orange and 1200 apple possible? d. Is producing 250 orange and 1200 apple? Is it efficient? 2) What is the connection between elasticity and total revenue? 3) State whether each of the following events will result in a movement along the demand curve for Burger King’s Cheeseburger or whether it will cause the curve to shift. If the demand curve shifts, indicate whether it will shift to the left or the right and draw a graph to illustrate the shift.Explaina) The price of McDonald’s Big Mac hamburger decreases.b) Because of a shortage of…
1. Below is the production possibilities table for consumer goods (washing machine) and capital goods (tractor): Type of Production Production Possibilities A B C D E Washing Machine 0 4 8 12 16 Tractor 60 54 42 24 0 a) Show these data graphically. b) If the economy is at point B, what is the cost of one more washing machine? What is the cost of one more tractor? c)Explain how the production possibilities frontier reflects the law of increasing opportunity costs.