Consider the following figure that illustrates production possibilities frontier (PPF) for colas and pizzas. 15 10 PPF 1 4 Pizzas (millions) Which of the following statements is false? Lütfen birini seçin: a. All factors of production are utilized to produce the quantities of colas and pizzas given by point B. b. It is possible to produce the quantities of colas and pizzas given by point A. c. The productive resources are used efficiently at point A. d. It is not possible to produce the quantities of colas and pizzas given by point C. 3. B. 2. Cola (millions of cans)

Consider the following figure that illustrates production possibilities frontier (PPF) for colas and pizzas. 15 10 PPF 1 4 Pizzas (millions) Which of the following statements is false? Lütfen birini seçin: a. All factors of production are utilized to produce the quantities of colas and pizzas given by point B. b. It is possible to produce the quantities of colas and pizzas given by point A. c. The productive resources are used efficiently at point A. d. It is not possible to produce the quantities of colas and pizzas given by point C. 3. B. 2. Cola (millions of cans)

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter3: Scarcity, Trade-offs, And Production Possibilities

Section: Chapter Questions

Problem 6P

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Susan is a skilled toy maker who is able to produce both trains and drums. She has 8 hours a day to produce toys. The following table shows the daily output resulting from various possible combinations of her time. Choice Hours Producing Produced (Trains) (Drums) (Trains) (Drums) A 8 0 4 0 B 6 2 3 8 C 4 4 2 14 D 2 6 1 16 E 0 8 0 17 On the following graph, use the blue points (circle symbol) to plot Susan's initial production possibilities frontier (PPF). Then use the green points (triangle symbol) to plot Susan's new (PPF) Suppose Susan is currently using combination D, producing one train per day. Her opportunity cost of producing a second train per day is per day. Now, suppose Susan is currently using combination C, producing two trains per day. Her opportunity cost of producing a third train per day is per day. From the previous analysis, you can determine that as Susan increases her…
Susan is a skilled toy maker who is able to produce both boats and drums. She has 8 hours a day to produce toys. The following table shows the daily output resulting from various possible combinations of her time. Choice Hours Producing Produced (Boats) (Drums) (Boats) (Drums) A 8 0 4 0 B 6 2 3 11 C 4 4 2 16 D 2 6 1 19 E 0 8 0 20 On the following graph, use the blue points (circle symbol) to plot Susan's initial production possibilities frontier (PPF). Suppose Susan is currently using combination D, producing one boat per day. Her opportunity cost of producing a second boat per day is how many drums per day? Now, suppose Susan is currently using combination C, producing two boats per day. Her opportunity cost of producing a third boat per day is how many boats per day? From the previous analysis, you can determine that as Susan increases her production of boats. Will her opportunity cost of producing one more boat…