Exam 2: Scarcity and the World of Trade-Offs

A production possibilities curve will shift outward or to the right for all of the following reasons EXCEPT

Economists argue that unhindered international trade leads to an efficient outcome.What is meant by "an efficient outcome" in this context?

Briefly explain the concept of opportunity cost.What is the opportunity cost of attending college?

Suppose an acre of land yields 100 bushels of corn and that one bushel of corn provides enough seed for one-quarter of an acre of land.The opportunity cost of consuming another 100 bushels of corn today is

In economic terminology,when a resource is used to produce output it is referred to as

-The shape of the production possibilities curve in the above figure indicates that

The basic problem in economics is

-In the above figure,the combination of personal computers and televisions shown by point w

Which of the following statements is FALSE about opportunity cost?

Which of the following is NOT a service?

Briefly explain the difference between the concepts of scarcity and shortage.

In the production of goods and services,trade-offs exist because

John and Mary work at a bakery.John can decorate either 10 ice-cream cakes or 4 wedding cakes; Mary can decorate either 8 ice-cream cakes or 2 wedding cakes.According to this scenario,

The difference between scarcity and a shortage is that

How can the concepts of opportunity costs,scarcity and choice by illustrated by the production possibilities curve?

Which is the best example of an intangible good?

The bowed shape of the traditional production possibilities curve reflects the

The production possibilities curve (PPC)illustrates economic growth by a(n)

In economic terminology,the accumulated training and education that workers receive to increase their productivity is referred to as

If opportunity costs are constant,then