Exam 2: Measuring Macroeconomic Performance: Saving and Wealth

Teddy's production possibilities curve for goods M and N is described by the following equation: M = 21 - 3N,where M is the quantity of good M produced and N is the quantity of good N produced.The maximum quantity of N that Teddy can produce is

The equation for Cartman's production possibilities curve is A = 13 - 0.5B,where A and B are the only two goods he can produce.The slope of Cartman's production possibilities curve is __________ and quantifies __________.

In general,individuals should specialize in producing those goods for which they

A reduction in the length of the workday would cause the production possibilities curve to

Which of the following statements is always true?

Smith and Jones comprise a two-person economy.Their hourly rates of production are shown below. -Based on the data,Smith has a(n)__________ advantage in __________ while Jones has a(n)__________ advantage in __________.

Yolanda can produce 2 dresses or 4 shirts in 8 hours of work,while Sandra can produce 3 dresses or 7 shirts in the same amount of time.Yolanda has a(n):

The reason a family doctor would send one of his patients to a surgeon to remove a tumour is because the surgeon has

If everyone had the same opportunity cost of producing a particular good,then

-Bobby Jo's opportunity cost of an extra bale of hemp is __________ and Mary Lou's is __________.

Lou and Alex live together and share household chores.They like to cook some meals ahead and eat leftovers.Suppose that in one hour Lou and Alex can do the following: -For Alex,the opportunity cost of cleaning one room is ________ meal(s);for Lou the opportunity cost of cleaning one room is _________ meal(s).

If Jane can produce 3 pairs of shoes hourly,while Bob can produce 2,then one can infer that the __________ advantage belongs to __________.

-The comparative advantage for shoes belongs to __________ and the comparative advantage for pants belongs to __________.

Which of the following statements best describe the given production possibilities curve?

Teddy's production possibilities curve for goods M and N is described by the following equation: M = 21 - 3N,where M is the quantity of good M produced and N is the quantity of good N produced.The slope of Teddy's production possibilities curve,when M is on the vertical axis,is

Teddy's production possibilities curve for goods M and N is described by the following equation: M = 21 - 3N,where M is the quantity of good M produced and N is the quantity of good N produced.The maximum quantity of M that Teddy can produce is

If there were decreasing opportunity costs,then the slope of the production possibilities curve would be

Specialization of labour leads to

A point on Joseph's production possibilities curve represents 6 music CDs and 2 videos produced in a week.A combination of 4 music CDs and 2 videos is an

-In a two-person economy,Little Joe can trap a maximum of 6 rabbits or catch 10 fish a week,while his father can trap 12 rabbits or catch 15 fish per week.If their family wants to consume 20 fish per week while maximizing their joint production,