How much tea is gained and what is the cost in coffee? a. In moving from U to v b. In moving from W to x c. In moving from Y to z tea is gained at the cost of tea is gained at the cost of tea is gained at the cost of coffee. coffee. coffee.
Q: Mark launders his white clothes using the production function q=3B+G, where B is the number of cups…
A: Production function: Here B denotes the number of cups of Clorox bleach and G denotes the number of…
Q: Consider a consumer with a medical bill of $1,000. He has a $250 deductible and a 20 percent…
A: A consumer has a medical bill of $1000 and has a deductible of $250. The co-insurance rate is 20…
Q: How quickly does GDP need to grow in order to provide for population growth?
A: Gross Domestic Product (GDP) is a comprehensive measure used to gauge the total economic output of a…
Q: Assume that health insurance is private in a country, and the market for insurance is competitive.…
A: The market equilibrium quantity is where the private marginal benefit curve intersects the private…
Q: The following graph shows the domestic market for steel in the United States, where Sp is the…
A: A tariff is a duty charged on imports of goods. A country imports a great deal of goods from other…
Q: 2. With that same model, what is the multiplier on +? (When I increases by I, what is the change in…
A: Consumption function:It is a relationship between consumption the income. As income increases,…
Q: Assume you have the following data for a hypothetical country for a specific year (in billions of…
A: The objective of the question is to identify the appropriate method for calculating Gross Domestic…
Q: A. How would you evaluate this exchange in 1626? Do you think it was fair? Do you think that mutual…
A: Economics:It is a subject matter that focuses on the rational management of scarce resources that…
Q: 2. For that same economy, what is the multiplier investment? (2 decimos on
A: In economics, investment suggests the expenditure of resources (money, time, or effort) determined…
Q: The taped water supply in South Africa is an example of a natural monopoly industry. Which of the…
A: A natural monopoly refers to the type of monopoly in an industry or sector with high barriers to…
Q: Suppose that the marginal social benefit of insurance exceeds the willingness and ability to pay by…
A: Marginal social benefit refers to the satisfaction received by consumers of a good or service plus…
Q: Assume that the markets for sugar cane, rum and whiskey are initially in equilibrium. Sugar cane is…
A: The government implemented a price ceiling in the sugar cane market. A price ceiling is a maximum…
Q: Suppose that the demand for digital picture frames is price elastic and the supply of digital…
A: The price elasticity is calculated as the percentage change in quantity demanded divided by the…
Q: Problem 2 Six years ago, an 80-kW diesel-electric set cost $160,000. The cost index for this class…
A: Given:Cost of the 80-kW unit six years ago: $160,000Cost index six years ago: 187Cost index now:…
Q: Provide an example demonstrating how government borrowing today can potentially harm future…
A: Debt:Debt is a financial obligation that a person has when he asks for a loan from a creditor. Debt…
Q: Three neighboring towns – Marshland, Dampland, and Wetland – all border the same lake.…
A: Marginal benefit refers to the additional benefit consumers receive from the additional consumption…
Q: Income from recycling the paper and cardboard generated in an office building has averaged $3900 per…
A: The effective interest rate is the actual interest rate paid or earned on a financial investment or…
Q: The per-unit standards for direct labor are 2 direct labor H was $30000 for 4000 direct labor hours…
A: According to the question, Production unit - 2400 unitsLabor cost - $30000 for 400 labor hoursTotal…
Q: Using the benefits and costs data below for Project 1, 2 and 3, conduct a Conventional Incremental…
A: Cash flow:The net amount of cash or cash equivalents that enters and exits a business or financial…
Q: 11) As of December 2019, banks subject to reserve requirements set by the Federal Reserve System…
A: The question relates to the administrative structure including reserve prerequisites set by the…
Q: Labor (workers per week) 0 1 2 3 4 5 6 10 In the table above, the marginal product of the 5th worker…
A: The production function shows the relationship between the input used and the output produced.The…
Q: Which of the following statements best exemplifies the concept of relative advantage in…
A: International trade is the exchange of goods and services between countries. It has been around for…
Q: The figure above shows the log of UK real GDP per capita between 1875 and 1914. Which of the…
A: The term GDP represents "Gross Domestic Product." It is a crucial economic metric for evaluating the…
Q: Fiat money is money: a. accepted by law regardless of its intrinsic value. b. C. that is not…
A: The question rotates around the idea of fiat money, a type of cash that is acknowledged by…
Q: Using an AD/AS diagram (starting from long-run/full employment equilibrium), graphically show and…
A: The link between the amount of a product provided and its price, while maintaining other variables…
Q: , Consider a nation that is too small to have any influence on world prices. The domestic timber…
A: Equilibrium price and quantity are those values of quantity and price when demand and supply curves…
Q: 1. Price $152 $144 $136 $128 $120 $112 $104 $96 $88 $80 $72 564 $56 $48 $40 $32 524 $16 $8 SO 0 25…
A: DISCLAIMER “Since you have asked multiple questions, we will solve the first three questions for…
Q: For an online retailer who is not able to offer low prices, what can the retailer do to boost its…
A: Strategy is a high-level plan that outlines the goals and objectives that an organization wants to…
Q: Suggest a policy that could resolve each macroeconomic disequilibrium to a long-run, full-employment…
A: Macroeconomic equilibrium happens at the point where aggregate demand equals aggregate supply, In…
Q: What is the impact on US imports when oil prices increase (or decrease)?
A: The question is asking about the impact on US imports when oil prices fluctuate. The United States…
Q: Use the following table to answer the question below. Jane's Production Possibilities Schedule…
A: The given data shows the production schedule for Green beans and corn. Pounds of green beansPounds…
Q: Suppose the European Union (EU) was investigated and proposed a merger between two of the largest…
A: Elasticity is defined as the responsiveness of change in one variable. If changes in price will lead…
Q: t is the main profit maximization formula that is followed by the various market structures (i.e.…
A: Achieving the highest revenue or profit is known as profit maximization. Strategic level sales are…
Q: Tools ips 1. Definition of economic costs Carlos lives in Dallas and operates a small company…
A: Explicit cost is the actual monetary expenditure to run the business. Implicit cost is the…
Q: The below figure shows the market for apartments in Springfield. Recently, the government imposed a…
A: The government sets a maximum and minimum price for products on the market. The regulation of these…
Q: [Related to the Solved Problem] Use the following data to calculate the values of equilibrium output…
A: Spending multiplier is a variable that tells how much equilibrium income changes due to $1 change in…
Q: Ralph consumes apples (A) and bananas (B). His Marshallian demand for bananas is 10.5 p0.2 6p7 B* =…
A: INTRODUCTION :In economics, the Marshallian demand function portrays the correlation between the…
Q: Suppose that the equilibrium quantity in the market for widgets has been 300 per month. Then a tax…
A: Tax collected from sellers shifts the supply curve upward by the amount of the tax. This results in…
Q: Daniele has an income of 100 and he has to spend it to buy pencils and pens. To him, the two goods…
A: Utility refers to the happiness or satisfaction that an individual get from the consumption of a…
Q: Table 24-16 The table below lists annual consumer price index and inflation rates for a country over…
A: CPI is the consumer price index. The CPI is used to calculate the inflation rate. The CPI is…
Q: For a certain company, the cost function for producing x items is C(x)=40x+150 and the revenue…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: 8a) How many units did a company sell at $25.92 if they have 24% of the $24,840,000 industry? (2)…
A: To solve these questions, we can use the following formula:Market share = Sales / Total market value
Q: QUESTION 5 60 50 40 30 20 10 P level 0- 60 50 40 30 20 10 0 P level 0- 10 0 10 O Figure A Ob)…
A: Aggregate demand refers to the quantity of goods or services that an economy demand in a period of…
Q: Most people do not steal, because Multiple Choice O O stolen goods are subject to the law of…
A: Stealing is an act of doing certain sort of theft or robbery with the motive of generating profit.
Q: On average, men earn more than women. Identify the statements that could reasonably explain the…
A: This can be described as a terminology that shows the difference or inequality between two or more…
Q: Two firms engage in Cournot competition in the Everlasting Gobstopper industry. The price elasticity…
A: Given:-Elasticity of demand=-2Firm 1 marginal cost=$365Firm 2 marginal cost=$602.25To…
Q: Network effects give Internet firms a boost with respect to first mover advantages. This is because…
A: The answer to the first question is A.Network effects are a phenomenon where the value of a product…
Q: Consider the following utility function for Mia: U(x₁x₂)=x²x2 where the prices of each good are P₁ =…
A: To calculate the Hicksian substitution effect for the change in the price of good x1. Mia's utility…
Q: The table shows Wanda's total utility from ice cream and nuts. The price of an ice cream cone is $2,…
A: The price of an ice cream cone is $2 and the price of nuts is $4 per bag. The total income of the…
Q: Blue Skies Aviation is a manufacturer of small single-engine airplanes. The company is relatively…
A: Marginal cost represents the incremental costs incurred when producing additional units of a good or…
Step by step
Solved in 3 steps with 1 images
- France and Tunisia both have Mediterranean climates that are excellent for producing/harvesting green beans and tomatoes. In France it takes two hours for each worker to harvest green beans and two hours to harvest a tomato. Tunisian workers need only one hour to harvest the tomatoes but four hours to harvest green beans. Assume there are only two workers, one in each country, and each works 40 hours a week. Draw a production possibilities frontier for each country. Hint: Remember the production possibility frontier is the maximum that all workers can produce at a unit of time which, in this problem, is a week. Identify which country has the absolute advantage in green beans and which country has the absolute advantage in tomatoes. Identity which country has the comparative advantage. How much would France have to give up In terms of tomatoes to gain from trade? How much would it have to give up in terms of green beans?scenario Production Advantage and Opportunity CostsAssume there are two countries, the United States and France, and two goods, automobiles andcomputers.The table presented below shows the number of automobiles and computers that the United States andFrance can produce with the same amount of resources.United States FranceAutomobiles 120 100Computers 60 55Source: Pearson Education Inc. 1.1 Which country has an absolute advantage in computer production? Motivate your answer.1.2 Which country has a comparative advantage in the production of automobiles? Motivateyour answer. 1.3 Assume these countries trade with one another under the conditions of free trade. Whichcountry will specialise in the production of automobiles? Motivate your answer. 1.4 If free trade exists between the United States and France, what are the highest and lowestlevels for the price of an automobile (expressed in terms of computers)? Motivate youranswer by stating which level favours the United States and France.Production Advantage and Opportunity CostsAssume there are two countries, the United States and France, and two goods, automobiles andcomputers.The table presented below shows the number of automobiles and computers that the United States andFrance can produce with the same amount of resources.United States FranceAutomobiles 120 100Computers 60 55Source: Pearson Education Inc. 1.1 Which country has an absolute advantage in computer production? Motivate your answer.1.2 Which country has a comparative advantage in the production of automobiles? Motivateyour answer. 1.3 Assume these countries trade with one another under the conditions of free trade. Whichcountry will specialise in the production of automobiles? Motivate your answer. 1.4 If free trade exists between the United States and France, what are the highest and lowestlevels for the price of an automobile (expressed in terms of computers)? Motivate youranswer by stating which level favours the United States and France.
- In Figure 2, what is the Net Benefit to Society (Steel Producer and Laundry Firm) from increasing steel production from S0 to S*? Describe why a move from S* to Su is not welfare enhancing for society (society here means the Steel Producer and Laundry Firm)The Marope Economy has the capacity to produce the goods and services that are outlined in Table 1 below. You are required to:a. Draw a Production Possibility Frontier (PPF) and list all efficient points of production.b. Marope Economy wishes to produce 520 billion units of consumer goods. Plot this output onthe Frontier and state whether this is an efficient point or not.Table 1 – Production Possibilities Output (billions of units per year) Consumer goods Consumer servicesPart BA B480 420 0 120C D240 0 240 300 Use graphs to demonstrate how the following factors will change the PPF.a. A decrease in migrationb. An increase in natural resourcesc. Changes in technologyCorn (lb) Scarves(#)U.S. 20 10Mexico 25 5 What is the opportunity cost of one scarf in Mexico? a. 3 lbs of corn b. 1/3 lb of corn c. 2 lbs of corn d. 5 lbs of corn PreviousNext
- A worker in country A can produce either 5 computers or 45 tons of rice, while a worker in country B canproduce either 7 computers or 42 tons of rice. a. Graph the production possibilities curve for each country. On which point of the curve would eachcountry produce if the workers spent half of their time producing each good? b. Which country has absolute advantage? Which country has comparative advantage? In theproduction of rise Country A absolute advantage c. If there was trade, which country would specialize in the production of rice? d. At what price of computers would the countries agree to trade?Corn (lb) Scarves(#)U.S. 20 10Mexico 25 5 What is the opportunity cost of one lb of corn in U.S.? a. 1 scarf b. 2 scarves c. 0.5 scarves d. 1/4 scarf.Brazil can produce 100 pounds of beef or 10 autos; in contrast the United States can produce 40pounds of beef or 30 autos. Which country has the absolute advantage in beef? Which country has theabsolute advantage in producing autos? What is the opportunity cost of producing one pound of beef inBrazil? What is the opportunity cost of producing one pound of beef in the United States?