Suppose a particular stretch of river can be used to build a hydropower dam that generates 2983 Kilowatt-hours (MWh) of electricity. The electricity price is 0.76 per Kilowat-hour. The opportunity cost of producing power is $0.001 Q? per hour due to the foregone net benefit that would have resulted from recreation activity related to the river. Enter 1 f the dam should be built and enter o otherwise.

Suppose a particular stretch of river can be used to build a hydropower dam that generates 2983 Kilowatt-hours (MWh) of electricity. The electricity price is 0.76 per Kilowat-hour. The opportunity cost of producing power is $0.001 Q? per hour due to the foregone net benefit that would have resulted from recreation activity related to the river. Enter 1 f the dam should be built and enter o otherwise.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

The accompanying tables give production possibilities data for Gamma and Sigma. All data are in tons. Gamma's production possibilities A B C D E Tea 120 90 60 30 0 Pots 0 30 60 90 120 Sigma's production possibilities A B C D E Tea 40 30 20 10 0 Pots 0 30 60 90 120 What are the limits of the terms of trade between Gamma and Sigma? Multiple Choice 1 tea = 2 pots to 1 tea = 6 pots 1 tea = 3 pots to 1 tea = 6 pots 1 tea = 2 pots to 1 tea = 3.5 pots 1 tea = 1 pot to 1 tea = 3 pots
Suppose that you have a free ticket to a concert by Band X. The ticket has no resale value.On the night of the concert, your next -best alternative entertainment is a performance byBand Y for which the ticket cost $40. You like Band Y and would usually be willing to pay$50 for a ticket to see them. What is the opportunity cost of using your free ticket andseeing Band X instead of Band Y? A) $40 B) $50 C) $10 D) $90
2. What economic opportunity cost in COVID 19?
Suppose Musashi is currently using combination D, producing one tea towel per day. His opportunity cost of producing a second tea towel per day is _______ per day. 1 2 13 15
A clothing accessory company produces scarves and earrings. Below are the production possibility combinations it can produce with the resources that it has. Scarves Earrings a. Draw the production possibility curve in the space below. 10 0 9 50 8 90 7 120 6 145 5 165 4 185 3 200 2 215 1 225 0 230 b. Suppose technological advances increase production of both earrings and scarves by 10% without increasing costs. Demonstrate the effect of this innovation on the production possibility curve you drew above.
Juanita and Neha are considering contributing toward the creation of a water fountain. Each can choose whether to contribute $300 to the water fountain or to keep that $300 for a weekend getaway. Since a water fountain is a public good, both Juanita and Neha will benefit from any contributions made by the other person. Specifically, every dollar that either one of them contributes will bring each of them $0.70 of benefit. For example, if both Juanita and Neha choose to contribute, then a total of $600 would be contributed to the water fountain. So, Juanita and Neha would each receive $420 of benefit from the water fountain, and their combined benefit would be $840. This is shown in the upper left cell of the first table. Since a weekend getaway is a private good, if Juanita chooses to spend $300 on a weekend getaway, Juanita would get $300 of benefit from the weekend getaway and Neha wouldn't receive any benefit from Juanita's choice. If Juanita still spends $300 on a weekend getaway…
A nation with fixed quantities of resources is able toproduce any of the following combinations of carpet andcarpet looms:Yards of carpet(Millions)Carpet looms(Thousands)0 4512 4224 3636 2748 1560 0These figures assume that a certain number of previouslyproduced looms are available in the current period forproducing carpet.a. Using the data in the table, graph the ppf (with carpet onthe vertical axis).b. Does the principle of “increasing opportunity cost” holdin this nation? Explain briefly. (Hint: What happens tothe opportunity cost of carpet—measured in number oflooms—as carpet production increases?)c. If this country chooses to produce both carpet and looms,what will happen to the ppf over time? Why?Now suppose that a new technology is discovered thatallows an additional 50 percent of yards of carpet to beproduced by each existing loom.d. Illustrate (on your original graph) the effect of this newtechnology on the ppf.e. Suppose that before the new technology is introduced, thenation…
[MUST SHOW WORKI You and your friend Tom are stranded on a deserted island and need to survive by collecting firewood and fishing for food. You can collect 8 logs per hour or 200 calories of fish per hour. Your friend Tom can collect 3 logs per hour or 500 calories of fish per hour. Who has an absolute advantage in collecting firewood? Select one: O A. Both You and Tom. O B. Neither You nor Tom. O C. You. O D. Tom. O E. Impossible to calculate without more information.
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.
Review the numbers for Canada and Venezuelafrom Table 33.12 which describes how many barrelsof oil and tons of lumber the workers can produce. Usethese numbers to answer the rest of this question.a. Draw a production possibilities frontier for eachcountry. Assume there are 100 workers in eachcountry. Canadians and Venezuelans desire bothoil and lumber. Canadians want at least 2,000tons of lumber. Mark a point on their productionpossibilities where they can get at least 3,000tons.b. Assume that the Canadians specializecompletely because they figured out they havea comparative advantage in lumber. They arewilling to give up 1,000 tons of lumber. Howmuch oil should they ask for in return for thislumber to be as well off as they were with notrade? How much should they ask for if theywant to gain from trading with Venezuela? Note:We can think of this “ask” as the relative price ortrade price of lumber.c. Is the Canadian “ask” you identified in (b) alsobeneficial for Venezuelans? Use the…
Kenji and Paolo are considering contributing toward the creation of a building mural. Each can choose whether to contribute $300 to the building mural or to keep that $300 for a new suit. Since a building mural is a public good, both Kenji and Paolo will benefit from any contributions made by the other person. Specifically, every dollar that either one of them contributes will bring each of them $0.70 of benefit. For example, if both Kenji and Paolo choose to contribute, then a total of $600 would be contributed to the building mural. So, Kenji and Paolo would each receive $420 of benefit from the building mural, and their combined benefit would be $840. This is shown in the upper left cell of the first table. Since a new suit is a private good, if Kenji chooses to spend $300 on a new suit, Kenji would get $300 of benefit from the new suit and Paolo wouldn't receive any benefit from Kenji's choice. If Kenji still spends $300 on a new suit and Paolo chooses to contribute $300 to the…
Imagine that you are in a debate with people talking about pro and cons of the stament below "Free flow of goods and capital always leads to a mutually beneficial outcome" Please provide ur personal opinion regarding the stament considering the pro's and cons