a. Compute the opportunity cost in forgone consumer goods (millions of pounds of butter) for each additional unit of military output produced (number of planes) using the table below: Instructions: Enter your responses as a whole number. Military output Consumer goods output Opportunity cost 0 100 95 2 80 3 60 4 35 b. As military output increases, opportunity cos✔✔ (Click to select) decrease remain constant increase 5 0
Q: Exercise 2 A firm has the single-input production function q(L) = 12L² - 21³. a) What is the average…
A: The production function shows the relationship with the input used and output produced. Average…
Q: Explain what it means in terms of opportunity cost when Economic profits are zero?
A: Opportunity Cost is the cost of the foregone alternative ie alternative which is being sacrificed in…
Q: The above figure shows the reaction functions for two pizza shops in a small isola town. The…
A: The stackelberg competition means firms compete on basis of the output. One firm is leader and other…
Q: Jim Duggan made an investment of $10,000 in a savings account 10 years ago. This account paid…
A: Present value is the value of investment in today's dollar.Future value is the value of investment…
Q: Use an AD-AS framework to show the effect of monetary restriction on the output level, prices and…
A: "Monetary restriction" by and large refers to activities or policies set up by central banks or…
Q: How can a social worker student further their growth?
A: For social work students, furthering growth involves a combination of education, practical…
Q: Price (dollars per shirt) 44 40 36 32 28 24 20 16 12 O 8 O 32 million The figure shows the market…
A: The demand curve is the downward-sloping curve. The supply curve is the upward-sloping curve. The…
Q: Price discrimination is charging consumers different prices for the same good based on individual…
A: The cost per unit refers to the total cost on the production for a single unit of an item or…
Q: Refer to the graph below. To achieve economic efficiency, which output level should be produced?…
A: Economic efficiency refers to the situation in market when all resources are allocated to maximise…
Q: You rent a car for $29.95. The first 100 miles are free, but each mile thereafter costs 10 cents.…
A: Marginal cost: The additional cost incurred when producing or consuming one more unit or service.
Q: Consider the production function F (K, N) = KN. Which statement is correct? O The production…
A: The production function shows the relationship with the input used and output produced.There is…
Q: The down payment for a car loan of 100,000 AED is 20%. The loan has to be repaid in 3 years.…
A: When you take car loan for buying the car, you pay some initial amount in cash called down payment.…
Q: hen quantity demanded decreases in response to a change in price for the good: the demand curve…
A: The law of demand states inverse relationship between price and quantity demanded. When price rises,…
Q: The unemployment rate O uses a definition of unemployment that places attention on the serious cases…
A: The unemployment rate is a key economic indicator that measures the percentage of the labor force…
Q: Which of the following could cause a change in the feasible region? Removing a redundant constraint…
A: Linear Programming:It is a technique that is used to minimize costs and maximize profit. We do this…
Q: A company has established that the relationship between the sales price for one of its products and…
A: Maxmum profit is the every firm's objective. And it is achieved when marginal revenue and marginal…
Q: An externality arises when a firm or person engages in an activity that affects the well-being of a…
A: In a market, two types of externalities are positive and negative that depends upon the effect of an…
Q: Refer to the table and figure below: Option A Option B Option C Option D Option E Option F Output of…
A: Opportunity Cost: It refers to the foregone revenue on the next best alternative if we pick a…
Q: Mark is looking to purchase a second-hand car. Within 20 minutes from Mark's house, there are 10…
A: Marginal Benefit (MB): The additional satisfaction or value a person gains from consuming one more…
Q: A new investment is estimated to more likely generate a uniform annual revenue of $560,000 for the…
A: The term "expected annual revenue" refers to the annualised Relevant Revenues as determined on the…
Q: 130 120 110 100 + If the Fed fears inflation, it by OA. decreases aggregate supply; selling OB.…
A: Money supply:The Federal Reserve Bank regulates the money supply in the economy, thus controlling…
Q: What is the Gauss Markov theorem?
A: The Gauss-Markov Theorem is a fundamental result in the field of statistics and econometrics. It…
Q: Refer to the graph above. The equilibrium level of GDP corresponds to: AP Real expenditures A. GDPO.…
A: Aggregate expenditure is the sum of consumption, investment, government spending and net export.…
Q: Consider the production of hamburgers. The average total cost (ATC) and average fixed cost (AFC) of…
A: Average Fixed Cost (AFC) takes on a crucial role as it defines the fixed cost that each unit of…
Q: 16) A significant difference between monopoly and perfect competition is that A. free entry and exit…
A: Monopoly refers to a a market situation at which there is only single sellers selling a product that…
Q: Question no. 4 a) By using the expected utility concept define risk averse, risk lover and risk…
A: The expected utility concept is used to describe how individuals make decisions under uncertainty by…
Q: Using the graph, complete the table that follows by indicating whether each statement is true or…
A: A supply curve is a curve that shows the relationship between the price of a good and the services…
Q: What will a corrective tax equal to the external cost imposed on polluters result in? It will…
A: This can be defined as a concept that shows the interference of the government in the market, In…
Q: Which of the following is true regarding different types of inflation? Cost-push inflation is…
A: Cost-push inflation: An inflation type driven by increased production costs, leading to higher…
Q: What are used to convince other governments to voluntarily limit their exports and are in effect…
A: The issue you raised has to do with trade policy and international trade. In particular, it…
Q: Jason went to a restaurant to buy something to eat. The menu included sandwiches ($5 each), soups…
A: Scarcity: Scarcity refers to the limited availability of resources in comparison to the unlimited…
Q: Which of the following is not seen by economists as an underlying cause of business cycle…
A: The business cycle, also known as the economic cycle, refers to the fluctuations of economic…
Q: From 1970 to 2017, the real price of a college education increased, and total enrollment increased.…
A: The demand is defined as the desire of an individual to buy a product. The individual must have…
Q: Suppose that the sales function for a product L has been estimated as:…
A: The sales function for the product L is given as The price of product L is given as $15The price of…
Q: Two students, Ryan Wattenberg and Emma Bennett, are discussing the idea of convergence over coffee.…
A: Convergence: Convergence refers to the idea that poorer or less developed countries will, over time,…
Q: Price and costs (dollars per unit) 25 MC ATC X MR D 8 12 16 20 24 Quantity (units per day) 20 15 10…
A: In monopolistic competition, There exists a large number of buyers and sellers. The firm will…
Q: Which of the following is not true regarding the factors of production? Stocks and bonds issued by…
A: The factors of production refer to the resources used in the production of goods and services.These…
Q: Emma likes to call her friend regularly during the month, but he lives abroad. A call costs him…
A: Cost of call = 5 per minute Benefit for first 100 minutes = 10 per minute Benefit for second 100…
Q: The production possibilities model is illustrated with a negatively sloped line because a. of…
A: PPC: Graphical representation of the combination of two goods that can be produced in the economy in…
Q: Consider a tiny hypothetical economy composed entirely of the following people: Kevin, Maria, Rajiv,…
A: The Bureau of Labor Statistics (BLS) sets the criteria for describing who is employed and who is…
Q: Given a consumption function of C = $25 +0.75 YD, if disposable income is $1,000, then the average…
A: Consumption function can be written as: Y=a+bYd where Y means the total consumption, a is the basic…
Q: (use the Deposit Expansion Multiplier (DEM) formula) Using the Fractional Reserve banking system, if…
A: Fractional Reserve Banking is a system where banks are required to keep only a fraction of their…
Q: QUESTION 5 Which group of individuals most likely benefits from rent controls? single parent…
A: Rent Control is a form of price ceiling where government mandates the maximum rent that a landlord…
Q: What are the goals of monetary policy? maximum employment and stable prices zero unemployment and…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Over the past year, the average income in one country rose by 5% while the union of instant noodle…
A: Demand :Demand is when a consumer has the desire to buy something at the price that he is ready to…
Q: Saline Company is considering investing in a new project. The project will need an initial…
A: Initial investment of the project (P) = $1,200,000Annual cash flow (A) = $600,000The incremental…
Q: Based on the figure below, what is the worker's hourly wage? Income $192 O $10 O $12 O $16 O $192 0…
A: The given graph shows the set of indifference curves and budget constraints for income and leisure.…
Q: A well-known professional football player contacts you for Travel Health insurance. He tells you he…
A: Scuba Diving: A water sport involving underwater swimming with the use of a self-contained breathing…
Q: ofit is found as total revenue (TR) minus total cost (TC). With that in mind, let us now consider…
A: The expenses such as labor, materials, overhead, and other resources needed to produce goods or…
Q: INTEREST RATE, r (Percent) O Short-term interest rates O Long-term interest rates Which tend to be…
A: "As per the policy, we can provide a solution to the first question only. Kindly raise the question…
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Economics QuestionSpecify and explain the typical shapes of marginal-benefifit and marginal-cost curves. How are these curves used to determine the optimal allocation of resources to a particular product? If current output is such that marginal cost exceeds marginal benefifit, should more or fewer resources be allocated to this product? Explain.a. Compute the opportunity cost in forgone consumer goods (millions of pounds of butter) for each additional unit of military output (number of planes) produced using the table below: Instructions: Enter your responses as a whole number. Military output 0 1 2 3 4 Consumer goods output 340 290 240 170 00 90 Opportunity cost b. As military output increases, opportunity costs (Click to select)
- Figure 1 The production possibility frontier ABCDE is a production possibility frontier. It shows the different combinations of goods which can be produced if all resources are fully and efficiently utilised. The economy can produce at any point on the line. It cannot produce at G because the PPF shows the maximum that can be produced. It can produce within the PPF,05 such as at F, but less will be produced than the maximum possible. Non-manufactured goods 50 40 30 20 10 0 A 10 B Ti C 20 30 Manufactured goods G D E 40In the use of the resources, it is important to any the concept of opportunity cost . Define oportunity cost in economic termsa. Compute the opportunity cost in forgone consumer goods (millions of pounds of butter) for each additional unit of military output (number of planes) produced using the table below: Instructions: Enter your responses as whole numbers. 2 3 4 Military output Consumer goods output 100 90 75 55 30 Opportunity cost b. As military output increases, opportunity costs (Click to select)
- ple Choice ý the letter of the choice that best completes the statement or answers the question. 1. Which of the following is an example of lower production costs brought about by the use of technology? the delivery costs of gasoline to the consumer by diesel trucks the use of e-mail to replace slower surface mail а. b. the making of breads and pastries in local shops rather than large bakeries the importing of fresh vegetables from South America rather than using canned vegetables- с. d. 2. What is the effect of import restrictions on prices? They cause prices to drop. b. a. They cause prices to rise. They often cause prices to rise steeply and then drop. d. They usually do not have any lasting effect on price. с. 3. What do sellers do if they expect the price of goods they have for sale to increase dramatically in the future? sell the goods now and try to invest the money instead of resupplying sell the goods now but try to get the higher price for them store the goods until the…Why is a production possibilities frontier typically drawn as a curve, rather than a straight line?An economy produces two goods ,X and Y .lt uses two means of production, labour and capital. A unit of labour can produce either 1unit of X or 4units of Y (or linear combination of the two).A unit of capital can produce either 4units of X or 1unit of Y (or linear combination of the two)there are 100units of each means of production. (i) Draw the production possibility frontier of the economy when the two goods can only be produced by a mixture of both factors. (ii)What will be the opportunity cost of X if the economy produces 50units of X ? (iii) Given that the production technology is linear ,will the opportunity cost of X remain unchanged when we produce 90units of X ? (iv)Briefly explain the difference between the PPC with a constant opportunity cost and the PPC with an increasing opportunity cost as more output of one good is produced. Use a well labeled diagram to explain your answer?
- we assume any opportunity cost our professor doesnot give us more inforation... please do whatever you understand Q2: show a typical course of these costs in a diagram where you have produced quantity along the horizontal axis and kroner along the vertical. where do we find the intersection of these two curvesproduct Y 28 24 20 16 12 8 4 0 Production Possibilities Frontier + point A 8 point F 12 16 point B point C 20 -point E point D 24 product X 01. What is the per-unit opportunity cost of product X as production moves from point B to point D? a) 6/7 b) -6/7 c) 7/6 d) -7/6Homework (Ch 02) 100 Tools 80 PPE 60 70, 41 20 20 40 60 80 100 ALFALFA (Millions of bushels) Complete the following table by indicating whether each point represents output combinations that are inefficient, efficient, or unattainable. Check all that apply. Point Inefficient Efficient Unattainable C E F OO0 O00 +u LAPTOPS (MIllions)