Question

There is a production possibilities frontier that shows the combinations of goods x and y that...

There is a production possibilities frontier that shows the combinations of goods x and y that can be produced in the economy. the point where the ppf touches the good x-axis is at 40 units of good x and the point where the ppf touches the good y-axis is at 60 units As a result of an increase in resources that can be used for the production of both goods, the ppf:

a. shifts leftward, in the point at which the ppf touches the good x-axis has to be something less than 40 units of good x.

b. shifts rightward, and the point at which the ppf touches the good x-axis has to be something more than 40 units of good x and the point I which the ppf touches the good y-axis s to be something more than 60 units.

c. shifts leftward, and the point at which the ppf touches the good x-axis has to be something less than 40 units of good x and the point at which the ppf touches the good y axis has to be something less than 60 units.

d. shifts rightward, and the point at which the ppf touches the good x-axis has to be something more than 40 units of y in the point at which the ppf touches the good y axis has to be something less than 60 units.

e. none of the above

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The production possibilities frontier (PPF) illustrates the combinations of goods that society can consume when trading...
The production possibilities frontier (PPF) illustrates the combinations of goods that society can consume when trading with other producers. True False When it is said that trade between nations can make both sides of the trade better off, this means that all citizens in each nation will benefit. True False A production possibilities frontier (PPF) is characterized by increasing opportunity costs when a. ​the PPF is bowed outward b. ​the PPF is a straight line c. ​increasing opportunity costs do...
True or False? 1) A production possibilities frontier allows us to identify the opportunity cost of...
True or False? 1) A production possibilities frontier allows us to identify the opportunity cost of producing a particular good in an economy. 2) Consider the production possibilities frontier. The efficient points are the ones that are either on or outside the frontier. 3) When people work more hours, the production possibilities frontier shifts inwards. 4) When people become more productive, the production possibilities frontier shifts inwards because it takes less time to produce each unit. 5) The production possibilities...
1. Tina can produce any of the following combinations of goods X and Y: (a) 100X...
1. Tina can produce any of the following combinations of goods X and Y: (a) 100X and 0Y, (b) 50X and 25Y, and (c) 0X and 50Y. David can produce any of the following combinations of goods X and Y: (a) 50X and 0Y, (b) 25X and 40Y, and (c) 0X and 80Y. Who has a comparative advantage in the production of good X? Of good Y? Explain your answer. 2. What condition must hold for the production possibilities frontier...
1- It is possible for an economy to consume at a point outside its production possibilities...
1- It is possible for an economy to consume at a point outside its production possibilities frontier Select one: a. only if it produces at a point outside its production possibilities frontier b. if all its markets are perfectly competitive c. if it specializes in and trades products in which it has a comparative advantage d. never 2- When quantity demanded of a good is less than the quantity supplied at the prevailing market price, Select one: a. the supply...
Where would you plot full employment on a production possibilities frontier? a point on the PPF...
Where would you plot full employment on a production possibilities frontier? a point on the PPF a point beyond the PPF a point below the PPF No answer text provided.
There are two goods, A and B. Suppose the production possibilities frontier (PPF) of a country...
There are two goods, A and B. Suppose the production possibilities frontier (PPF) of a country is given by QB = (100 − 2×QA^2)^1/2. The slope of this PPF is − 2QA/QB (notice that it is not constant, it depends on how much of each good is produced, so if QA = 4 and QB = 8, the slope is −1). Finally, assume that the price of good A is 12 and the price of good B is 4. 1....
The table below shows the production possibilities schedule for an economy. Production Alternatives Capital Goods Consumers...
The table below shows the production possibilities schedule for an economy. Production Alternatives Capital Goods Consumers Good A 0 1300 B 20 1200 C 45 900 D 60 600 E 70 350 F 75 0 Putting capital goods on the horizontal axis and consumer goods on the vertical axis, graph the production possibilities curve for the economy. Answer If the economy is producing at alternative B, what is the opportunity cost to it of producing at alternative C instead? Answer:...
Instructions Students have to create two hypothetical economies with their respective Production Possibilities Frontier (PPF). Parameters:...
Instructions Students have to create two hypothetical economies with their respective Production Possibilities Frontier (PPF). Parameters: One country should be a bigger economy in both industries. Assume constant opportunity costs along each country’s PPF. Thus, there are 5 tasks to complete this assignment: 1. Create a PPF for each hypothetical economy using 5 output combinations for each PPF 2. Graph the PPFs for the two hypothetical economies from a Production Possibilities Frontier schedule 3. Calculate the opportunity costs of producing...
1. Consider the following Production Possibilities Frontier. (Chapter 1) Goods Possibilities _______________________________________________    A B C...
1. Consider the following Production Possibilities Frontier. (Chapter 1) Goods Possibilities _______________________________________________    A B C D E Capital Goods 5 4 3 2 0 Consumer Goods 0 5 9 12 14 _______________________________________________ e. List 4 ways the society might be able to expand (shift) its current PPF out into the unattainable areas? f. True/False: (1) There is zero unemployment when we are on the PPF? (2) Unemployment only exist when we operate under the PPF? Explain your answers!
2.Which of the following would not shift the Production Possibilities Frontier outward? a Discovering new resources...
2.Which of the following would not shift the Production Possibilities Frontier outward? a Discovering new resources b Improving education and training of workers c Improving technology d Increasing the capital stock e Reducing unemployment and other resource misallocations 3.Productive efficiency tells us a that we should always produce outside our Production Possibilities Frontier. b the production choices available that fully use our resources. c which combinations of products are preferred by households. d the exact combination of products that a...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT