Microeconomics: Principles & Policy
14th Edition
ISBN: 9781337794992
Author: William J. Baumol, Alan S. Blinder, John L. Solow
Publisher: Cengage Learning
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Chapter 3, Problem 2TY
To determine
To graph the
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Students have asked these similar questions
Graphically show the production possibilities frontier for the nation of Stromboli, using the data given in the following table. Does the principle of increasing cost hold in Stromboli?
Stromboli’s 2019 Production Possibilities
Pizzas per Year Pizza Ovens per Year
75,000,000 0
60,000,000 6,000
45,000,000 11,000
30,000,000 15,000
15,000,000 18,000
0 20,000
1
01:45:16
The table below shows Lanark's production possibilities.
Wheat
Cars
A
20
B
15
19
C
26
17
D
34
13
E
37
7
F
38
0
a. If Lanark is producing 15 cars, it can produce approximately
b. If Lanark is currently producing combination C, the cost of 8 more wheat is
c. If Lanark is currently producing combination D, the approximate per unit cost of an additional car is
necessary, round your answers to 1 decimal place. Remember to round 0.05 up to 0.10.
wheat.
(Click to select) ✓
(Click to select). I
Steel
50
25
0
25
50
Chemicals
Italy
1 ton of steel for 1/2 ton of chemicals.
1 ton of steel for 1/3 ton of chemicals.
1 ton of steel for 1 ton of chemicals
Steel
1 ton of steel for 2 tons of chemicals.
30
20
0
20
Italy and Greece are the only two economies in the world and they can produce steel or chemicals.
The production possibilities curves for the two countries are shown in the graphs. What is the cost
ratio for Greece?
Chemicals
Greece
60
Chapter 3 Solutions
Microeconomics: Principles & Policy
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- Utopia produces only two products: cheese and wine. The production levels are shown in the table below. inputs 0 20 40 Cheese 60 80 100 output 0 45 75 98 113 121 Possibility A Cheese Wine 0 inputs 0 B 20 40 60 80 100 a. From this data, complete Utopia's production possibilities table below. Wine C output 0 60 105 143 158 165 D b. Utopia c. If Utopia is at D, the total cost of 15 more cheese is d. If Utopia is at D, the total cost of 38 more wine is [ E (Click to select): produce 98 cheese and 143 wine. wine. cheese. F 0arrow_forwardGiven the following diagram of a production possibilities frontier for a country. Assume that this country produces only two types of goods, capital goods (K) and consumer goods (C). (Graph is not drawn to scale.) CAPITAL GOODS (K) LACO,250) B(409200) c C200, ISo) D (300, l00) E(GO0,0) CONSUMER 600as (C) e. Suppose that there is a technological improvement in producing consumer goods that results in twice as many units of consumer goods being produced from the available resources in this economy. Draw the new production possibility frontier for this economy given this change. Assume that there are no changes in technology with regard to capital good production.arrow_forwardBelow table shows the production possibilities for the country of Emilon: Rice Beef A 0 100 В 100 11 90 с 180 70 D 240 40 E 280 0 a. The total cost of producing 180 rice is 70 units of beef b. The total cost of going from possibility C to possibility D is units of beef c. The approximate per-unit cost of going from possibility C to possibility D is units of beef answers to 2 decimal places. Remember to round 0.05 up to 0.10. d. The total cost of going from possibility D to possibility C is v units of rice V v v If necessary, round yourarrow_forward
- Use the information in the table below to determine the opportunity cost of increasing output of bats from 450 to 630. Number of Workers 0 10 20 30 40 50 Paragraph > B Daily Production of Bats 0 240 450 630 780 900 |||| > Number of Workers 0 10 20 30 40 50 +v Daily Production of Hammers 0 360 660 900 1,080 1,200 *** 1.arrow_forwardYUGD KCQ 1 Economics 1A (page 3 of 10) - Google Chrome mancosaconnect.ac.za/mod/quiz/attempt.php?attempt=1022248&cmid=284826&page=2 MANCOSA Study the following diagram and answer the question that follows: Submarines C d b e Type here to search a Galaxy Note20 Ultra 5G 9 The production of Od submarines and Oa hospitals... O A. Is productively inefficient given the available resources. B. Is productively efficient given the available resources. C. Is productively impossible given the available resources. D. Increases the available resources. Hospitals h св Darrow_forwardAssume that England and Spain can switch between producing cheese and producing bread at a constant Labor Hours Needed to Make 1 Unit of Number of Units Produced in 24 Hours Cheese Bread Cheese Bread England 2 3 12 8 Spain 3 6 8 4 Assume that England and Spain each has 24 labor hours available. If each country divides its time equally between the production of cheese and bread, then what will be the total production of Cheese and Bread? Check to see if the following combination of Chease and Bread could be produced in England. 6 units of cheese and 4 units of bread. 8 units of cheese and 3 units of bread.arrow_forward
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