Imagine a society that produces military goods and consumer goods, which we’ll call “guns” and “butter.” a. Draw a production possibilities frontier for guns and butter. Using the concept of opportunity cost, explain why it most likely has a bowed-out shape.

Imagine a society that produces military goods and consumer goods, which we’ll call “guns” and “butter.” a. Draw a production possibilities frontier for guns and butter. Using the concept of opportunity cost, explain why it most likely has a bowed-out shape.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter3: Interdependence And The Gains Rrom Trade

Section3.1: A Parable For The Modern Economy

Problem 1QQ

See similar textbooks

Related questions

Q: Draw and explain a productino possibilities frontier for an economy that produces milk and cookies.…

A: Production possibility frontier is the graphical representation of combinations of goods that can be…

Q: Edgar, who is a driver for Uber and earns $14 per hour, is considering going to see a movie tonight.…

Q: The table sets out Crusoe's production possibilities frontier in winter. Crusoe currently catches…

A: Answer in step 2

Q: give an example of economic problem involving opportunity cost that SA government is curretly facing…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Suppose the Nation of Doodag can produce only doods and dags, and that its production possibilities…

A: The Production Possibility Curve (PPC) indicates a possible combination of two goods manufactured in…

Q: The table below shows production points on Sweet-Tooth Land's production possibilities frontier.…

A: Production possibilities frontiers are used to represent the trade-off that occurs between the…

Q: What are the factors you consider to figure out the opportunity cost of a vacation to Gorakh Hill…

A: In an economy, opportunity cost can be seen in every field of life as it explains the foregone…

Q: Maria can read 20 pages of economics in an hour. Shecan also read 50 pages of sociology in an hour.…

A: a.

Q: Imagine a society that produces military goods andconsumer goods, which we’ll call “guns” and…

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: With the aid of a diagram, draw a production possibility Frontier (PPF) for an economy producing…

A: PPF: Creation probability curve is the chart which demonstrates the different creation prospects of…

Q: Ben considers going to the Kings of Leon concert in Philadelphia. A ticket costs $100. If Ben does…

A: The opportunity cost denotes the amount of potential gains (or benefits) that an individual or firm…

Q: What is Production Possibility Frontier? Draw and explain a production possibilities frontier for an…

A: The wants and desires of humans are unlimited but the resources available to satisfy those wants and…

Q: a. Draw and explain a production possibilities frontier for an economy that produces cheese and…

A: Production possibility frontier (PPF) shows that with the combination of two factors of production,…

Q: a) Calculate opportunity costs for Elizabeth and Brian. b) Who produces apples and who produces…

A: The opportunity cost is the value of next foregone alternative. Opportunity cost= What one…

Q: gallon of root beer is__________ , and Valerie's opportunity cost of brewing a gallon of root…

A: Poornima's opportunity cost of brewing a gallon of root beer is - 0.6 hours to make a pizza.…

Q: What is the opportunity cost involved in moving from point B to A? Production possibility curve…

A: Meaning of Production Possibility Frontier: The term production possibility frontier refers to the…

Q: A production possibilities table for DVDS and computers is shown below. Production Alternatives B…

A: A. The opportunity cost is the next best alternative that is foregone while making the choice…

Q: Imagine a country XYZ that produces only two goods—chairs and tables. Together, the chairs and…

A: Since you have posted a question with multiple subparts, we will solve the first three subparts for…

Q: Use a production possibilities frontier to describe the idea of "efficiency"?

A: Production is efficient if it is produced at production possibility curve.

Q: Production Alternative Types of Production A B C D E Butter 10 14 16 Guns 50 40 30 20 a. Draw a…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub parts for…

Q: A popular bakery has only a few ingredients left to make their products. They could bake muffins or…

A: Meaning of Microeconomics: The term macroeconomics refers to that situation under which the economic…

Q: Suppose a new drug was discovered that slowed the deterioration of health that accompanies aging.…

A: A production possibility curve is that curve which shows all those possible combinations of two…

Q: Draw and explain a production possibilities frontier for an economy that produces cheese and milk.…

A: The Production Possibility curve also known as Production Possibility Frontier the graphical…

Q: 15 Producton 14 roter 12 Cell phones (millons per year) Cell phones (millons) 2 3 DVDS (milons) 15…

A: Cellphone 3 4 DVD 9 5 Possibility D E Opportunity cost of DVD=loss of cellphonegain of…

Q: What is an opportunity cost? Give an example from class or make up your own

A: Economics studies how scarce resources are allocated in a manner that most of the human needs are…

Q: a. If a business is producing 4 mobile phones and 15 cameras, would they be efficient? If no, what…

A: Hi, thank you for the question. As per our Honor code, we are allowed to attempt only the first…

Q: Okay, so if I want one more bottle of water, what does this cost me in terms of fish? The…

A: A Production Possibility Frontier is a graph that shows all the possible combinations of two…

Q: Draw and explain a production possibility frontier for an economy that produces milk and cookies.…

Q: Exercise 1.4 You and your partner are highly efficient people. You can earn $20 per hour in the…

A: A production possibility frontier (PPF) shows the maximum possible output combinations of two goods…

Q: Tony and Patty produce skis and snowboards. The tables show their production possibilities. I…

A: Answer: Given values: To find: Tony’s and Patty’s PPF (production possibilities frontier)…

Q: Combination Fruit Candy 1500 1350 100 1100 175 800 225 450 350 E 500 Use the table to answer…

A: An opportunity cost refers to an alternative lost while selecting the best alternative.

Q: A套第7页共10页 According to production possibility frontier of an economy in the two graphs below, answer…

A: The production plausibility frontier (PPF) is a bend outlining the shifting measures of two items…

Q: 2. Draw and explain a production possibilities frontier for an economy that produces milk and…

A: Note: We will answer the first question as the exact one was not specified. Please resubmit a new…

Q: A. O The economy is facing constant opportunity cost В. The economy is facing decreasing opportunity…

A: Answer in step 2

Q: Types of Production А В C D E Sandals 10 12 14 16 Boots 50 40 30 20 What is the opportunity cost of…

A: The production possibility frontier of an economy represents the trade-off an economy faces between…

Q: Beth can read 30 pages of astronomy in an hour. She can also read 20 pages of sociology in an hour.…

A: A production possibility frontier(PPF) is a curve which shows various combinations of amounts of two…

Q: 1. Explain the following concepts: a. Scarcity b. Choice c. Opportunity cost d. Resources 2. State…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: . a. Explain the following in not more than half a page - Opportunity cost. - Production…

A: Opportunity cost Opportunity cost is the cost of next best alternative foregone. In other words it…

Q: With an example, use a production possibility frontier as a straight line, assume that the country…

A: It is assumed that the country produces two goods i.e. good (x) and good (y). Since the country has…

Q: Imagine a country XYZ that produces only two goods—chairs and tables. Together, the chairs and…

A: The opportunity cost reflects the limited availability of economic resources in the nation. As a…

Q: Is a production possibilities frontier (PPF) for Happyland, a country that produces only two…

A: The production capacity of a nation can be depicted in the production possibility frontier. Through…

Question

Imagine a society that produces military goods
and consumer goods, which we’ll call “guns”
and “butter.”
a. Draw a production possibilities frontier for
guns and butter. Using the concept of opportunity
cost, explain why it most likely has a
bowed-out shape.

Video Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Residents of the town of Smithfield like to consume hams, but each ham requires 10 people to produce it and takes a month. If the town has a total of 100 people, what is the maximum amount ham the residents can consume in a month?
Imagine a society that produces military goods andconsumer goods, which we’ll call “guns” and “butter.”a. Draw a production possibilities frontier for gunsand butter. Using the concept of opportunity cost,explain why it most likely has a bowed-out shape.b. Show a point on the graph that is impossible forthe economy to achieve. Show a point on thegraph that is feasible but inefficient.c. Imagine that the society has two political parties,called the Hawks (who want a strong military)and the Doves (who want a smaller military).Show a point on your production possibilitiesfrontier that the Hawks might choose and a pointthat the Doves might choose.d. Imagine that an aggressive neighboring countryreduces the size of its military. As a result, boththe Hawks and the Doves reduce their desiredproduction of guns by the same amount. Whichparty would get the bigger “peace dividend,”measured by the increase in butter production?Explain.
give an example of economic problem involving opportunity cost that SA government is curretly facing 3define a production possibility curve and use such a curve to illustrate scarcity,choice and opportunity cost
Imagine a society that produces military goods and consumer goods, which we’ll call “guns” and “butter.” Draw a production possibilities frontier for guns and butter. Using the concept of opportunity cost, explain why it most likely has a bowed-out shape. Show a point that is impossible for the economy to achieve. Show a point that is feasible but inefficient. Imagine that the society has two political parties, called the Hawks (who want a strong military) and the Doves (who want A smaller military). Show a point on your production possibilities frontier that the Hawks might choose and a point the Doves might choose. Imagine that an aggressive neighboring country reduces the size of its military. As a result, both the Hawks and the Doves reduce their desired production of guns by the same amount. Which party would get the bigger “peace dividend,” measured by the increase in butter production? Explain.
Need help with this homework thinking question (about opportunity costs) Sigmund Freud, in his 1930 essay Civilization and Its Discontents, argues that thesublimation of sexual desire leads to the mental energy required for advances in civiliza-tion: science, art, politics, etc. He writes,“Sublimation of instinct [such as sexual instinct] is an especially conspicu-ous feature of cultural development; it is what makes it possible for higherpsychical activities, scientific, artistic, or ideological, to play such an impor-tant part in civilized life... it is impossible to overlook the extent to whichcivilization is built up upon a renunciation of instinct...” How would an economist phrase Freud’s argument, in terms of opportunity costs? Might this explain the development of monogamous marriage as an institution?
Imagine a society that produces Capital goods and consumer goods. a. Draw a production possibilities frontier for capital and consumer goods. Explain why it most likely has a bowed-out shape. b. Show a point that is impossible for the economy to achieve. Show a point that is feasible but inefficient. c. Imagine that the society has two political parties, party A (who wants capital goods) and the party B (who want a consumer goods). Show a point on your production possibilities frontier that the part A might choose and a point the party B might choose. d. Imagine that our progressive neighboring country reduces the size of its consumer goods. As a result, both the Party A and B reduce their desired production of consumer goods by the same amount. Which party would get the bigger “technology dividend,” measured by the increase in capital production? Explain.
Imagine a society that produces Capital goods and consumer goods. Draw a production possibilities frontier for capital and consumer goods. Explain why it most likely has a bowed-out shape. Show a point that is impossible for the economy to achieve. Show a point that is feasible but inefficient. Imagine that the society has two political parties, party A (who wants capital goods) and the party B (who want a consumer goods). Show a point on your production possibilities frontier that the part A might choose and a point the party B might choose. Imagine that our progressive neighboring country reduces the size of its consumer goods. As a result, both the Party A and B reduce their desired production of consumer goods by the same amount. Which party would get the bigger “technology dividend,” measured by the increase in capital production? Explain.