\[\begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Camel rides } \\ \text { (per day) } \end{array} & \begin{array} { c } \text { Marginal benefit } \\ \text { (tubes of } \\ \text { sunscreen) } \end{array} & \begin{array} { c } \text { Marginal cost } \\ \text { (tubes of } \\ \text { sunscreen) } \end{array} \\ \hline 1 & 20 & 11 \\ \hline 2 & 18 & 12 \\ \hline 3 & 16 & 13 \\ \hline 4 & 14 & 14 \\ \hline 5 & 12 & 15 \\ \hline 6 & 10 & 16 \\ \hline \end{array}\] -Leisure Land produces only sun screen and camel rides.The table shows the marginal benefit and marginal cost schedules for sun screen and camel rides.The allocatively efficient number of camel rides is ________.

A) 1 ride per day because the marginal benefit exceeds the marginal cost by as much as possible B) 2 rides per day C) 4 rides per day D) 6 rides per day because that is the maximum number of rides A) 1 ride per day because the marginal benefit exceeds the marginal cost by as much as possible B) 2 rides per day C) 4 rides per day D) 6 rides per day because that is the maximum number of rides

\[\begin{array} { | c | c | c | } \hline \text { Point } & \begin{array} { c } \text { Production } \\ \text { chocolate bars } \end{array} & \begin{array} { c } \text { Production } \\ \text { cans of cola } \end{array} \\ \hline \text { A } & 0 & 100 \\ \hline \text { B } & 10 & 90 \\ \hline \text { C } & 20 & 70 \\ \hline \text { D } & 30 & 40 \\ \hline \text { E } & 40 & 0 \\ \hline \end{array}\] -The above table shows production points on Sweet-Tooth Land's production possibilities frontier.What is the opportunity cost of one can of cola if Sweet-tooth Land moves from point C to point B?

A) 20 chocolate bars per can of cola B) 10 chocolate bars per can of cola C) 2 chocolate bars per can of cola D) 1/2 chocolate bars per can of cola A) 20 chocolate bars per can of cola B) 10 chocolate bars per can of cola C) 2 chocolate bars per can of cola D) 1/2 chocolate bars per can of cola

Exam 2: The Economic Problem

-Suppose a factory can be designed to produce either trucks or cars.The figure above shows the marginal cost and marginal benefit of producing trucks in terms of the forgone cars. a) What is the marginal benefit of the 25th truck? b) What is the marginal cost of the 25th truck? c) Should the 25th truck be produced? Why or why not. d) What is the marginal benefit of the 75th truck? e) What is the marginal cost of the 75th truck? f) Should the 75th truck be produced? Why or why not? g) What is the allocatively efficient quantity of trucks?

(Essay)

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Question 161

-Vicky currently produces at point a in the figure above.If Vicky moves from point a to point b to point c,her opportunity cost of a modem ________.

(Multiple Choice)

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Question 162

Why does it make sense for economies to specialize according to comparative advantage and trade?

(Essay)

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Question 163

Explain how the production possibilities frontier illustrates scarcity.

(Essay)

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Question 164

In goods markets and in factor markets .

(Multiple Choice)

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Question 165

-In the figure above,how can the economy represented by the production possibilities frontier move from point C to point F ?

(Multiple Choice)

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Question 166

-In the figure above,an economy would grow fastest if it produces at point

(Multiple Choice)

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Question 167

Moving along a bowed-out PPF between milk and cotton,as more milk is produced the marginal cost of an additional gallon of milk

(Multiple Choice)

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Question 168

Camel rides (per day) Marginal benefit (tubes of sunscreen) Marginal cost (tubes of sunscreen) 1 20 11 2 18 12 3 16 13 4 14 14 5 12 15 6 10 16 -Leisure Land produces only sun screen and camel rides.The table shows the marginal benefit and marginal cost schedules for sun screen and camel rides.The allocatively efficient number of camel rides is ________.

(Multiple Choice)

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Question 169

-Molly just graduated from high school.The figure shows her possibilities frontier.If Molly goes to college,she will move from point M to point K.In terms of consumption goods,Molly's opportunity cost of going to college is

(Multiple Choice)

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Question 170

An expansion of the production possibilities frontier is

(Multiple Choice)

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Question 171

Missouri can produce 10,000 tons of pecans per year or 5,000 tons of pears per year.Washington can produce 12,000 tons of pecans per year or 48,000 tons of pears per year.If these two states were to engage in trade,which of the following is true?

(Multiple Choice)

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Question 172

-Refer to the production possibilities frontier in the figure above.Which production point indicates that resources are NOT fully utilized or are misallocated?

(Multiple Choice)

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Question 173

-Refer to the production possibilities frontier figure above.Which of the following movements requires the largest opportunity cost,in terms of good X forgone,per extra unit of good Y?

(Multiple Choice)

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Question 174

A marginal cost curve

(Multiple Choice)

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Question 175

When producing at a production efficient point,________.

(Multiple Choice)

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Question 176

Point Production chocolate bars Production cans of cola A 0 100 B 10 90 C 20 70 D 30 40 E 40 0 -The above table shows production points on Sweet-Tooth Land's production possibilities frontier.What is the opportunity cost of one can of cola if Sweet-tooth Land moves from point C to point B?

(Multiple Choice)

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Question 177

The production possibilities frontier shifts as

(Multiple Choice)

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Question 178

-In the figure above,which of the following movements has the largest opportunity cost?

(Multiple Choice)

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Question 179

If a country must decrease current consumption to increase the amount of capital goods it produces today,then it must

(Multiple Choice)

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Question 180

-Vicky currently produces at point a in the figure above.If Vicky moves from point a to point b to point c,her opportunity cost of a modem ________.

Why does it make sense for economies to specialize according to comparative advantage and trade?

Explain how the production possibilities frontier illustrates scarcity.

In goods markets and in factor markets .

-In the figure above,how can the economy represented by the production possibilities frontier move from point C to point F ?

-In the figure above,an economy would grow fastest if it produces at point

Moving along a bowed-out PPF between milk and cotton,as more milk is produced the marginal cost of an additional gallon of milk

-Molly just graduated from high school.The figure shows her possibilities frontier.If Molly goes to college,she will move from point M to point K.In terms of consumption goods,Molly's opportunity cost of going to college is

An expansion of the production possibilities frontier is

Missouri can produce 10,000 tons of pecans per year or 5,000 tons of pears per year.Washington can produce 12,000 tons of pecans per year or 48,000 tons of pears per year.If these two states were to engage in trade,which of the following is true?

-Refer to the production possibilities frontier in the figure above.Which production point indicates that resources are NOT fully utilized or are misallocated?

-Refer to the production possibilities frontier figure above.Which of the following movements requires the largest opportunity cost,in terms of good X forgone,per extra unit of good Y?

A marginal cost curve

When producing at a production efficient point,________.

Point Production chocolate bars Production cans of cola A 0 100 B 10 90 C 20 70 D 30 40 E 40 0 -The above table shows production points on Sweet-Tooth Land's production possibilities frontier.What is the opportunity cost of one can of cola if Sweet-tooth Land moves from point C to point B?

The production possibilities frontier shifts as

-In the figure above,which of the following movements has the largest opportunity cost?

If a country must decrease current consumption to increase the amount of capital goods it produces today,then it must

What Is Economics

Demand and Supply

Measuring GDP and Economic Growth

Monitoring Jobs and Inflation

Economic Growth

Finance, Saving, and Investment

Money, The Price Level, and Inflation

The Exchange Rate and the Balance of Payments

Aggregate Supply and Aggregate Demand

Expenditure Multipliers

Inflation, Jobs, and the Business Cycle

Fiscal Policy

Monetary Policy

International Trade Policy

Introduction

Monitoring Macroeconomic Performance

Macroeconomic Trends

Macroeconomic Fluctuations

Macroeconomic Policy

Filters

Exam 2: The Economic Problem

-Vicky currently produces at point a in the figure above.If Vicky moves from point a to point b to point c,her opportunity cost of a modem ________.

Why does it make sense for economies to specialize according to comparative advantage and trade?

Explain how the production possibilities frontier illustrates scarcity.

In goods markets ________ and in factor markets ________.

-In the figure above,how can the economy represented by the production possibilities frontier move from point C to point F ?

-In the figure above,an economy would grow fastest if it produces at point

Moving along a bowed-out PPF between milk and cotton,as more milk is produced the marginal cost of an additional gallon of milk

-Molly just graduated from high school.The figure shows her possibilities frontier.If Molly goes to college,she will move from point M to point K.In terms of consumption goods,Molly's opportunity cost of going to college is

An expansion of the production possibilities frontier is

Missouri can produce 10,000 tons of pecans per year or 5,000 tons of pears per year.Washington can produce 12,000 tons of pecans per year or 48,000 tons of pears per year.If these two states were to engage in trade,which of the following is true?

-Refer to the production possibilities frontier in the figure above.Which production point indicates that resources are NOT fully utilized or are misallocated?

-Refer to the production possibilities frontier figure above.Which of the following movements requires the largest opportunity cost,in terms of good X forgone,per extra unit of good Y?

A marginal cost curve

When producing at a production efficient point,________.

Point Production chocolate bars Production cans of cola A 0 100 B 10 90 C 20 70 D 30 40 E 40 0 -The above table shows production points on Sweet-Tooth Land's production possibilities frontier.What is the opportunity cost of one can of cola if Sweet-tooth Land moves from point C to point B?

The production possibilities frontier shifts as

-In the figure above,which of the following movements has the largest opportunity cost?

If a country must decrease current consumption to increase the amount of capital goods it produces today,then it must

What Is Economics

Demand and Supply

Measuring GDP and Economic Growth

Monitoring Jobs and Inflation

Economic Growth

Finance, Saving, and Investment

Money, The Price Level, and Inflation

The Exchange Rate and the Balance of Payments

Aggregate Supply and Aggregate Demand

Expenditure Multipliers

Inflation, Jobs, and the Business Cycle

Fiscal Policy

Monetary Policy

International Trade Policy

Introduction

Monitoring Macroeconomic Performance

Macroeconomic Trends

Macroeconomic Fluctuations

Macroeconomic Policy

Filters

In goods markets and in factor markets .