Given that Sandy can produce 10 economics reports or 2 sales calls and Tim can produce 2 economics reports or 1 sales call, which of the following would NOT be a mutually agreeable exchange price for Sandy and Tim? a 1 economics report for 1 sales call b1 sales call for 3 economics reports c1 sales call for 4 economics reports d1economics report for 1/4 of a sales call
Q: Given that Sandy can produce 10 economics reports or make 2 sales calls and Tim can produce 2…
A: Macroeconomics is important for a country and microeconomics is also important. Aggregate demand and…
Q: Given that Sandy can produce 10 economics reports or 2 sales calls and Tim can produce 2 economics…
A: Given: Sandy can produce 10 economics reports or 2 sales calls Tim can produce 2 economics reports…
Q: Paul, Noel, and Sandi work in a bakery where they make pies and cakes. In one day, Paul can make 5…
A: Opportunity cost basically refers to the cost of best next foregone. In other word it is the cost of…
Q: What would be the relative price of two traded goods for both trading partners to benefit? Select…
A: Opportunity cost: Opportunity cost can be defined as the cost or benefit associated with the next…
Q: 4. Shifts in production possibilities Suppose Japan produces two types of goods: agricultural and…
A: Production Possibility Frontier is the locus of different possible combinations of two goods that an…
Q: Assume George and Abe are stranded on an island and can only produce two goods: fish and coconuts.…
A:
Q: Suppose the economy initially produces 9,000 pieces of clothing and 500 million barrels of oil,…
A: A production possibility frontier (PPF) shows the maximum possible output combinations of two goods…
Q: exchange
A: Comparative Advantage means an individual can produce a specific product at a lower marginal…
Q: The diagram at right shows the production possibilities boundaries in Columbia for two goods, cotton…
A: The production possibility frontier would result in the production of the two goods which would…
Q: Back to Assignment Attempts Average /5 Working with Numbers and Graphs Q9 The following table…
A: Opportunity cost of Nicki Kamal X 30/300 = 1/10=0.1 100/200 =1/2=0.5 Y 300/30 = 10 200/100 = 2…
Q: Evidence accumulates that the use of chemical fertilizers, which increases agricultural production…
A: Production possibility frontier represents many production possibilities of two two goods, given…
Q: Suppose that, on the basis of a nation’s production possibilities curve, an economy must sacrifice…
A: Comparative advantage refers to a situation wherein the country (say X) specializes in the…
Q: 3. Efficiency in the production possibilities model Suppose South Africa produces only two goods:…
A: Production possibility frontier shows the possible combination of two goods which can be produced…
Q: The nation of Routarou is able to produce turnips and potatoes in combinations represented by the…
A: The economics as a study refers to the idea where each society in consideration has a limited amount…
Q: Consider a simple exchange economy with two people: Bob and Jake. Bob and Jake both have 10 hours of…
A: Since resources are scarce, there always exists tradeoff. Opportunity cost refers to decrease in…
Q: What would a straight-line production possibilities frontier between grape juice and apple juice on…
A: (Since you have posted multiple questions, we will answer the first one for you. If you want a…
Q: During the summer you have made the decision to attend summer school, which prevents you from…
A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…
Q: Suppose Japan produces only cars and digital cameras. The resources that are used in the production…
A: The Production Possibility Frontier is the locus point of all the different combinations of the two…
Q: Home has 1,200 units of labor available. It can produce two goods, apples and bananas. The unit…
A: Microeconomics is that the study of people's and enterprises' choices concerning resource allocation…
Q: vidence accumulates that the use of chemical fertilizers, which increases agricultural production…
A: The production possibility curve is a graphical representation of combinations of two goods that an…
Q: Question: How much more coffee does Todd gain from specialization and trade? To answer this…
A: Given information Todd uses 12 hours to produce chocolate and coffee He can produce 80 pounds of…
Q: A production possibilities table for two products, grain and airplanes, is found below. Usual…
A: Opportunity cost of generating a product is explained by the sacrifice made by the producer when he…
Q: Evidence accumulates that the use of chemical fertilizers, which increases agricultural production…
A: a) Production possibility frontier shows many possibilities of production of two goods, given that…
Q: 3. Shifts in production possibilities Suppose the United States produces two types of goods:…
A: Here, the given graph shows various combination of agriculture good and capital good in terms of…
Q: Justin has 5 days in a work week; each day he can create either 2 Android apps or 1 Apple app.…
A:
Q: During the American Civil War, the South’s factories and farm land were decimated. It also suffered…
A: The production possibility curve shows the combinations of outcome/output a firm can produce by…
Q: 3. Efficiency in the production possibilities model Suppose South Africa produces only two goods:…
A: Production Possibility Curve: A production possibility curve (PPC) shows combinations of the maximum…
Q: Consumption goods 7. The production possibilities A frontier (beside) shows the available tradeoffs…
A: The production possibility frontier (PPF) depicts the combination of two goods that a nation can…
Q: Suppose that, on the basis of a nation’s production possibilities curve, an economy must sacrififice…
A: Production possibility curve is the curve which showing the possibility of a country to produce two…
Q: Explain how the shape of the production-possibility frontier implies increasing costs for the…
A: Points Clothing Food A 16 0 B 15 2 C 13 4 D 10 6 E 6 8 F 0 10
Q: Immediately after an ice storm brought down power lines throughout the region, hardware stores were…
A: In a free-market economy, the resources are allocated based on the interaction of market forces such…
Q: In an eight-hour day, Andy can produce either 8 loaves of bread or 24 kilograms of butter. In an…
A: Given production possibility schedule Bread produced in 8 hours Butter Andy 8 loaves 24 Kg…
Q: Le consumption possibilities frontier shows a. a nation's opportunity cost of producing different…
A: A country is said to have a comparative advantage if it can produce the good at a lower opportunity…
Q: Suppose a nation has a total of 12 units of labor, which can be used to produce either guns or…
A: The problem of resource allocation is one of the central problem of economics. as resources are…
Q: C. What is the opportunity cost from point D to point C? Show formulas, calculations, answers, and…
A: Given A B C D E Consumer Goods 0 25 50 75 100 Capital Goods 100 90 75 45 0 "Since you…
Q: Suppose South Africa produces only tablets and smartphones. The resources that are used in the…
A: According to the theory of economics, we know that on a PPF, we need to diminish the production of…
Q: Production Alternatives Type of Production A B D. E Automobiles 4 8. Forklifts 30 27 21 12 a. Show…
A: c) Producing 3 automobiles and 20 forklifts, here it can be said that the resources here are left…
Q: Evidence accumulates that the use of chemical fertilizers, which increases agricultural production…
A: A. The production possibility curve indicates different combinations of two goods that can be…
Q: 8. Shifts in production possibilities Suppose the United States produces two types of goods:…
A: Production Possibility Frontier (PPF) refers to graphical representation of possible combinations of…
Q: 1. Assume you are on an iceland, where you can produce different combinations of coconuts and fish…
A: "Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…
Q: The table above shows the production possibilities frontier for a company producing only 2 goods:…
A: With company producing two goods at a combination of 4 bats and 10 rackets. The firm is under…
Q: 8 pounds of fruit or 4 pounds of nuts. In an hour, Monk can gather 9 pounds of fruit or 3 pounds of…
A: This is the case of absolute advantage.
Q: The nation of Routarou is able to produce turnips and potatoes in combinations represented by the…
A: A Production Possibility curve is a graphical representation of the alternative combination of goods…
Q: This question is a file-upload question. Work your answer in a piece of paper, take a picture with…
A: Production possibilities are various combinations of two goods that a country can produce over a…
Q: Question: How much more coffee does Todd gain from specialization and trade? To answer this…
A: Given Before specialization, Todd produces 80 pounds of chocolates in 8 hours and 80 pounds of…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Given that Sandy can produce 10 economics reports or 2 sales calls and Tim can produce 2 economics reports or 1 sales call, which of the following would NOT be a mutually agreeable terms of trade for Sandy and Tim? a) 1 economics report for 1 sales call b) 1 sales call for 4 economics reports c) 1 economics report for 1/4 of a sales call d) 1 sales call for 3 economics reportsGiven that Sandy can produce 10 economics reports or make 2 sales calls and Tim can produce 2 economics reports or make 1 sales call, we can conclude that, a) Tim should produce both economics reports and sales calls. b) Sandy should specialize in economics reports, and Tim should specialize in sales calls. c) Tim should specialize in producing economics reports, and Sandy should specialize in producing sales calls. d) Sandy should produce both economics reports and sales calls since she cannot possibly gain from trade with TimGiven that Sandy can produce 10 economics reports or make 2 sales calls and Tim can produce 2 economics reports or make 1 sales call, we can conclude that, Group of answer choices 1. Sandy should specialize in economics reports, and Tim should specialize in sales calls. 2. Sandy should produce both economics reports and sales calls since she cannot possibly gain from trade with Tim. 3. Tim should produce both economics reports and sales calls. 4. Tim should specialize in producing economics reports, and Sandy should specialize in producing sales calls.
- 2. Determining opportunity cost Juanita is deciding whether to buy a suit that she wants, as well as where to buy it. Three stores carry the same suit, but it is more convenient for Juanita to get to some stores than others. For example, she can go to her local store, located 15 minutes away from where she works, and pay a marked-up price of $104 for the suit: Store Travel Time Each Way Price of a Suit (Minutes) (Dollars per suit) Local Department Store 15 104 Across Town 30 87 Neighboring City 60 80 Juanita makes $36 an hour at work. She has to take time off work to purchase her suit, so each hour away from work costs her $36 in lost income. Assume that returning to work takes Juanita the same amount of time as getting to a store and that it takes her 30 minutes to shop. As you answer the following questions, ignore the cost of gasoline and depreciation of her car when traveling. Complete the following table by computing the…12. Suppose that, on the basis of a nation’s production possibilities curve, an economy must sacrifice 10,000 pizzas domestically to get the 1 additional industrial robot it desires but that it can get the robot from another country in exchange for 9000 pizzas. Relate this information to the following statement: “Through international specialization and trade, a nation can reduce its opportunity cost of obtaining goods and thus ‘move outside its production possibilities curve.Suppose there are two individuals, Casey and Rick, who live in a very simplified world where only two goods are produced and consumed: rice and beans. The production opportunity cost for Casey is 4.00 kg4.00 kg of rice for every kilogram of beans. Rick has a production opportunity cost of 2.00 kg2.00 kg of rice for every kilogram of beans. Casey eventually realizes that, through trade, both individuals can be better off. Rick is willing to trade. What price can be settled between these two parties such that both individuals can enjoy more rice and beans? Give your answer to two decimals.
- 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?Suppose a small economy produces only two goods: apples and oranges. The production possibilities frontier (PPF) for this economy is given by the following equation: PPF: 5A + 3O = 60, where A represents the quantity of apples produced and O represents the quantity of oranges produced. Calculate the opportunity cost of producing one additional apple.. Diego and Darnell are roommates. They spend mostof their time studying (of course), but they leavesome time for their favorite activities: making pizzaand brewing root beer. Diego takes 4 hours to brewa gallon of root beer and 2 hours to make a pizza.Darnell takes 6 hours to brew a gallon of root beerand 4 hours to make a pizza.a. What is each roommate’s opportunity cost ofmaking a pizza? Who has the absolute advantagein making pizza? Who has the comparativeadvantage in making pizza?b. If Diego and Darnell trade foods with each other,who will trade away pizza in exchange for rootbeer?c. The price of pizza can be expressed in terms ofgallons of root beer. What is the highest price atwhich pizza can be traded that would make bothroommates better off? What is the lowest price?Explain.
- Consider a simple exchange economy with two people: Bob and Jake. Bob and Jake both have ten hoursof time available. The can use their time to do one of two things: make pancakes or make hamburgers.Bob can make two hamburgers in an hour or one pancake in an hour. Jake can make three pancakes in anhour or two hamburgers in an hour. Use this information to answer the following questions:a.) Draw Jake and Bob’s PPFs, with hamburgers on the x-axis.b.) Give equations for Jake and Bob’s PPFs in y = mx+b form, still treating hamburgers as the xvariable.c.) Who has absolute advantage in the production of hamburgers? Who has absolute advantage inthe production of pancakes?d.) Who has comparative advantage in the production of hamburgers? Who has comparativeadvantage in the production of pancakes?e.) Can Bob and Jake both benefit from trade if the terms of trade are one pancake per hambruger?Why4. a. Suppose that you are on a deserted island and can produce either 32 tons of coconuts OR 16 tons of pineapples. Draw the PPF representing this situation. Assume that coconuts are on the x-axis. Also assume that the PPF is linear. Clearly label your graph. b. For each of the following combinations say whether they are attainable (feasible) or unattainable (infeasible), based on the above information. If they are feasible, say whether they are efficient or inefficient. Also, label the three points on the graph above. (i) 8 tons of coconuts and 12 tons of pineapples: (ii) 16 tons of coconuts and 3 tons of pineapples:Q15.) Marie has a weekly budget of $24, which she likes to spend on magazines and pies. The price of a pie is $12. 1.) If the price of a magazine is $4 each, the maximum number of magazines she could buy in a week is m? 6 magazines 2.) If she buys 1 pie the number of magazines she can buy in a week is? 3 magazines 3.) What is her S opportunity cost of purchasing a pie? $4 What is question 4 answer? 4.) If Marie's weekly budget is $24, which she likes to spend on magazines and pies, and If the price of a pie is $12 each, what is the maximum number of pies she could buy in a week? ___