Suppose that in the country of England, two goods can be produced on available agricultural land: wine and wool. Suppose that the opportunity costs of production are constant, so that the PPF is a straight line. Further, when all resources are devoted to wine production, England can produce 200 (thousand) barrels. When all resources are devoted to wool production, England can produce 400 (thousand) bushels of wool. What are the opportunity costs in England of producing a bushel of wool?

Suppose that in the country of England, two goods can be produced on available agricultural land: wine and wool. Suppose that the opportunity costs of production are constant, so that the PPF is a straight line. Further, when all resources are devoted to wine production, England can produce 200 (thousand) barrels. When all resources are devoted to wool production, England can produce 400 (thousand) bushels of wool. What are the opportunity costs in England of producing a bushel of wool?

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter2: Productions Possibilities, Opportunity Costs, And Economic Growth

Section: Chapter Questions

Problem 8SQ

See similar textbooks

Related questions

Q: Any point on a country's production possibilities frontier represents a combination of two goods…

A: Production possibility frontier is used for 2 goods. These two goods can be anything.

Q: (also known as the production possibilities curve) for alfalfa, an agricultural good, and cars, a…

A: A production possibility curve (PPC) shows the maximum possible output combinations of two goods or…

Q: Answer the attached question

A: In an economy, the production possibility curve can have a parallel shift when the production of…

Q: The four people listed below are the only workers In an economy that works 10 hours per day and only…

A: Production possibility frontier shows various combinations of amounts of two goods that the country…

Q: Consider the Production Possibility Frontiers of two countries, Australia and Brazil. Assume both…

Q: Explain how each of the following situations would affect a nation's production possibilities curve.…

A: A Production possibility frontier (PPF) curve shows the different possible combination of two goods…

Q: Suppose that Spain and Switzerland both produce oil and shoes. Spain's opportunity cost of producing…

A: Since Spain has to sacrifice only 3 barrels of oil to produce a pair of shoes in comparison to 11…

Q: Your neighbor also grows oranges and apples. In a season they are capable of harvesting 300 crates…

A: PPF curve is the graphical representation of two goods that illustrates the variations in the number…

Q: Suppose that there are 10 million workers in Japan and that each of these workers can produce either…

A: Given that there are 10 million workers in Japan and that each of these workers can produce either 2…

Q: Suppose Ireland produces two types of goods: agricultural and capital. The following diagram shows…

A: Production possibility frontier (PPF) shows the combination of two goods that a nation can produce…

Q: Suppose Country A can create 200 tons of capital-intensive goods or 200 tons of labor-intensive…

A: Country A can create 200 tons of capital-intensive goods or 200 tons of labor-intensive goods in one…

Q: Using the graph of a production possibilities frontier (PPF) below, please answer the questions that…

A: The production possibility frontier (PPF) is a business analysis curve that represents the…

Q: The following graph shows the production possibilities curve (also known as the production…

A: Production possibility curve is the curve which shows all possible combinations of two goods which a…

Q: Suppose Martha and Julia both work at a bakery making bread and muffins. In an hour, Martha can…

A: Comparative advantage is based on opportunity cost. Absolute advantage is based on the number of…

Q: mya and Donovan produce two goods in an 8 hour day. Mya can produce 10 capital or 55 consumables and…

A: An individual can have an absolute advantage over another individual in the manufacturing of a…

Q: Consider the PPF of a country with movies on the horizontal axis and computers on the vertical axis.…

A: Production Possibility Frontier refers to the curve that shows different possible combinations of…

Q: what accounts for the shape of the PPC? In other words, what is it about the relationship between…

A: The production possibility frontier (PPF) is a curve on a graph that delineates the potential…

Q: Answer the attached question

A: Production possibility frontier (PPF) refers to the combination of two goods that a country can…

Q: State three reasons for the PPF to shift to the right or left.

A: Production possibility frontier illustrates the combinations of quantity of two goods that can be…

Q: Discuss the differences between the constant opportunity cost and the increasing opportunity cost in…

A: PPC shows two goods possible combinations which can be produced with the given resources and…

Q: Acme supply is analyzing a Production Possibilities Curve that compares the production of wrenches(…

A: Change in Y variable (Pliers) divided by change in X variable (Wrenches) is the slope of the PPF…

Q: A technological innovation allows the nation to efficiently convert solar energy into electricity…

A: *According to company policy we are supposed to answer only 1 question in one session, so will be…

Q: Raphael and Susan are farmers. Each one owns a 20-acre plot of land. The following table shows the…

A: Comparative advantage refers to the ability of the country or an individual to produce the good at a…

Q: Suppose that Portugal and Switzerland both produce jeans and stained glass. Portugal's opportunity…

A: Given information: There are two countries, i.e., Portugal and Switzerland They produce two goods,…

Q: Using the PPC in question A answer the following questions (c,d) C. If the economy is producing 3…

A: C. If the economy is producing 3 automobiles and 20 forklifts that means the production lies under…

Q: n the PPC, if the point is found within the PPC curve, this means that the combination of goods…

A: A PPC (Production Possibility Curve) is a graphical representation of various combinations of goods…

Q: Suppose Bulgaria produces only tablets and cars. The resources that are used in the production of…

A: Production possibility frontier shows the various combination of 2 goods that can be produced by the…

Q: Suppose that Italy and Switzerland both produce jeans and olives. Italy's opportunity cost of…

A: Comparative advantage is a theory about the ability of a nation to produce a good or service at a…

Q: Which of the following is not true about the Production Possibility Curve? a) An inefficient use of…

A: Production possibility curve The production possibility curve depicts the combination of two goods…

Q: Give a definition of an advance in technology. Suppose that you are drawing a PPF for civilian goods…

A: Advance in technology can be understood when the same amount of resources is able to more than…

Q: Suppose that Italy and Spain both produce cheese and wine. Italy's opportunity cost of producing a…

A: A country is said to have a comparative advantage in a good when it can produce the good at a lower…

Q: Suppose that Spain and Switzerland both produce oil and cheese. Spain's opportunity cost of…

A: a) Spain has a comparative advantage in the production of cheese and Switzerland has a comparative…

Q: Consider two points on the PPF point A, at which there are 10 apples and 20 pears, and point B, at…

A: The PPF is curved but rather than it is a straight line just because not all resources stand equally…

Q: The following graph shows the production possibilities curve (PPC) of an economy that produces…

A: PPC shows combinations of two outputs that can be produced with the given level of resources and…

Q: The following graph shows the production possibilities curve (also known as the production…

A: The production possibility curve represents the most efficient bundles of goods a company can…

Q: Based on your answer to the last question, which of the following prices of trade (that is, price of…

A: Answer in step 2.

Q: Suppose that Greece and Sweden both produce fish and shoes. Greece's opportunity cost of producing a…

A: Comparative advantage is when a country is able to produce at a lower opportunity cost.

Q: Two planets, Endor and Kamino, both produce two goods, blasters and radio devices. The below graphs…

A: A market is a place where the buyers and the sellers interact with each other and the exchange of…

Q: Suppose that Portugal and Austria both produce rye and cheese. Portugal's opportunity cost of…

A: Comparative advantage refers to the ability to produce goods and services at a lower opportunity…

Q: Suppose that an hour of work in Brazil can produce 1 pound of coffee or 4 pounds of sugar. In…

A: Hey, Thank you for the question. According to our policy, we can only answer 3 subparts per…

Q: Draw a PPF that represents the production possibilities for goods X and Y if there are constant…

Q: Use the table to answer the question: Corn (lb) Scarves (#) U.S. 20 10 Mexico 25 5 What is the…

A: Opportunity cost is here is the amount of the other good foregone for producing one unit of a good.…

Question

Suppose that in the country of England, two goods can be produced on available agricultural land: wine and wool. Suppose that the opportunity costs of production are constant, so that the PPF is a straight line. Further, when all resources are devoted to wine production, England can produce 200 (thousand) barrels. When all resources are devoted to wool production, England can produce 400 (thousand) bushels of wool.
What are the opportunity costs in England of producing a bushel of wool?

Definition Definition Curve that represents the various combinations of production possibilities of two commodities when resources or factors of production are given.

Expert Solution