Exam 2: Scarcity and the World of Trade-Offs

In economic terminology, the accumulated training and education that workers receive to increase their productivity is referred to as

If a country's production possibilities curve gets more bowed out over time, it is an indication that

If the production possibilities curve is a downward sloping straight line, then

In economics, resources are also known as

The above table shows the daily production possibilities for a bakery. Currently the bakery bakes 60 pizzas and 180 loaves of bread, that is at alternative C. -Using the above table but now the bakery bakes 30 pizzas and 240 loaves of bread (alternative

Economic goods are items that

Politicians often argue that a country's standard of living is reduced when it allows imports into the country. Offer an economically sound counter-argument.

The term "labor" for an economist includes

Which type of resource will improve through more education and training by workers?

Typically, the greater the specialization of resources

Whenever the economy is producing the maximum amount of goods given the level of technology and the amount of resources

All of the following are economic resources, or factors of production EXCEPT

-The above figure is referred to as a(n)

Efficiency can correctly be defined as

-Refer to the above figure. Assume that only two goods can be produced in the economy. Which of the following statements is TRUE?

Two factories make wooden chairs. If the workers in factory A make each chair from start to finish and the workers in factory B divide labor, one would assume

-Which of the following would NOT allow society to move to point "h" in the above figure?

Some resources are better suited to produce certain goods than other resources. This fact leads to

The law of increasing additional cost exists because

-Based on the above figure, if countries "A" and "B" faced the production possibilities curves above, both countries would benefit if