Exam 1: B: Limits, Alternatives, and Choices

Production possibilities tables for two countries, North Cantina and South Cantina: North Cantina Production possibilities (alternatives) South Cantina Production possibilities (alternatives) Refer to the above tables.If North Cantina is producing at production alternative B, the opportunity cost of the eleventh unit of consumer goods will be:

The production possibilities curve shows various combinations of two products which an economy can produce when achieving full employment and productive efficiency.

A nation's production possibilities curve is "bowed out" from the origin because:

Although sleeping in on a work day or school day has an opportunity cost, sleeping late on the weekend does not.

If the equation y = 5 + 6x was graphed, the:

Microeconomics is concerned with:

When a provincial government chooses to build more roads, the required resources are no longer available for spending on public education.This dilemma illustrates the concept of:

The linear equation for line (3) on the above graph is:

Answer on the basis of the relationships shown in the above four figures.The amount of Y is unrelated to the amount of X in:

Economics may best be defined as:

Normative statements are concerned with:

Suppose an economist says that "Other things equal, the lower the price of bananas, the greater the amount of bananas purchased." This statement indicates that:

From an economic perspective, when consumers leave a fast-food restaurant because the lines to be served are too long, they have concluded that the:

Production possibilities (alternatives) Refer to the above table.As compared to production alternative D, the choice of alternative C would:

Refer to the above diagram.The slope of curve ZZ at point B is:

The slope of a line parallel to the horizontal axis is:

A positive statement is one which is:

If an economy is operating on its production possibilities curve for consumer goods and capital goods, this means that:

A "hypothesis" is:

Which of the following is assumed in constructing a typical production possibilities curve?