What factors would a political economy perspective emphasize in explaining the choice to devote more resources to fossil fuels? f. Many political economists point out that economies in the real world are not fully utilizing all available resources i.e. they are not producing at a point on the PPF. If this is true, what is the opportunity cost of devoting more resources to renewable energy? Explain clearly.

What factors would a political economy perspective emphasize in explaining the choice to devote more resources to fossil fuels? f. Many political economists point out that economies in the real world are not fully utilizing all available resources i.e. they are not producing at a point on the PPF. If this is true, what is the opportunity cost of devoting more resources to renewable energy? Explain clearly.

Microeconomics A Contemporary Intro

10th Edition

ISBN:9781285635101

Author:MCEACHERN

Publisher:MCEACHERN

Chapter2: Economic Tools And Economic Systems

Section: Chapter Questions

Problem 18PAE

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Similar questions

a) Draw a production possibilities frontier (PPF) for a society that produces two goods, guns and wheat. Suppose this society has two political parties, party R (who want a strong military) and party L (who want a smaller military). Show points on your diagram that party R and party L chooses. b) Show graphically whether your PPF will change if all the resources used for both the goods were equally suitable for production of guns and wheat? c) Assuming that b stands and if all the resources are used for the production of guns, 20 guns can be produced and if all the resources are used for production of wheat, 80 units of wheat can be produced, then what is the opportunity cost of producing one gun?
63. A farmer can produce 10,000 pears if he uses the whole of his one-acre farmland. If he uses the same land for apple cultivation, a total of 5,000 apples can be produced. However, he decides to produce both, and the opportunity cost of producing either fruit is constant. If his production possibility frontier (PPF) is graphed with apples on the Y-axis and pears on the X-axis, what will be the slope of this PPF?
2. What is a production possibilities frontier (ppf) for an economy? explain your answers with an appropriate diagram.
Using Production Possibilities Curve (PPC), identify the trade-off between public and private goods. What is the opportunity cost if more allocation is needed for the provision of public goods?
1. Describe and illustrate what a Production Possibility Frontier (PPF) for a two good economy looks like, which if it used all its resources, can produce either 300 units of national security or 140 units of health care, or some combination of the two. 2. Explain what the opportunity cost is and calculate it for this example (assume constant opportunity cost).
Refer to the table below. Type of Production Production Alternatives A B C D E Automobiles 0 2 4 6 8 Forklifts 30 27 21 12 0 a. Suppose improvement occurs in the technology of producing forklifts but not in the technology of producing automobiles. Draw the new production possibilities curve. Instructions: Use your mouse to click on either one or both of the endpoints of the PPC and drag inward or outward as necessary. b. Now assume that a technological advance occurs in producing automobiles but not in producing forklifts. Draw the new production possibilities curve. Instructions: Use your mouse to click on either one or both of the endpoints of the PPC and drag inward or outward as necessary. c. Now draw a production possibilities curve that reflects technological improvement in the production of both goods. Instructions: Use your mouse to click on either one or both of the endpoints of the PPC and drag inward or outward as necessary.
Suppose Russia produces only cars and trucks. The resources that are used in the production of these two goods are not specialized—that is, the same set of resources is equally useful in producing both trucks and cars. The shape of Russia's production possibilities frontier (PPF) should reflect the fact that as Russia produces more trucks and fewer cars, the opportunity cost of producing each additional truck _______? The following graphs show two possible PPFs for Russia's economy: a straight-line PPF (PPF1PPF1) and a bowed-out PPF (PPF2PPF2). Based on the previous description, the trade-off Russia faces between producing trucks and cars is best represented by _____?