Exam 2: Confronting Scarcity: Choices in Production

Human effort that can be applied in the production process is called:

Labor is the _____ that can be applied to production.

There is no role for government in a market capitalist economy.

Improvements in technology provide benefits to:

A movement along the production possibilities curve would be a result of:

The economy's factors of production are not equally suitable for producing different types of goods.This principle generates:

Use the following to answer questions Exhibit: Consumer and Capital Goods -(Exhibit: Consumer and Capital Goods) If the economy is operating at point Y on currently relevant Curve 1, this means that:

The best example of a market capitalist economy is:

In a market capitalist economy:

To be considered capital, a factor of production must:

Use the following to answer questions Exhibit: Sugar and Freight Trains -(Exhibit: Sugar and Freight Trains) Suppose the economy is producing 180 tons of sugar and 2 freight trains.This implies that:

One of the two criteria for a resource to be considered as a natural resource is that it must:

If Farmer Sam MacDonald can produce 200 pounds of cabbages and 0 pounds of potatoes or 0 pounds of cabbages and 100 pounds of potatoes and faces a linear production possibilities curve for his farm, the opportunity cost of producing an additional pound of potatoes is _____ _ pound(s) Of cabbage.

Use the following to answer questions Exhibit: Production Possibilities Curve 2 -(Exhibit: Production Possibilities Curve 2) The point representing a combination of consumer goods and capital goods that can be attained only by economic growth is point:

In a market capitalist economy, which of the following is not an accepted role for government?

Use the following to answer questions Exhibit: Production Possibilities Curve 2 -(Exhibit: Production Possibilities Curve 2) If conditions remain the same, the point representing an unattainable combination of consumer goods and capital goods is point:

The set of acquired skills and abilities that workers bring to the production of goods and services is:

Which of the following will not lead to economic growth?

The law of increasing opportunity cost is associated with the slope of the:

Use the following to answer questions Exhibit: Guns and Butter -(Exhibit: Guns and Butter) A movement from producing 12 units of guns and 16 units of butter per period to point B means a: