How does a production possibility chart assist in outlining opportunity cost?
It compares production numbers of one product to another
. … Wanting to expand into selling potted plants, they create a production possibility chart to asses whether the potted plants are a good idea.
What does assessing opportunity cost involve?
Assessing opportunity cost involves:
making choices and dealing with consequences
. … Making choices and dealing with consequences.
What is Ricardo's opportunity cost?
What is Ricardo's opportunity cost?
Choosing the promotion over time with his friends
.
What is a graphical representation of the combination of goods and services that can be produced in a situation quizlet?
A production possibilities curve
shows the combinations of two goods an economy is capable of producing.
Which point on the production possibilities graph represents efficiency?
According to the PPF,
points A, B, and C
on the PPF curve represent the most efficient use of resources by the economy. For instance, producing five units of wine and five units of cotton (point B) is just as desirable as producing three units of wine and seven units of cotton.
How does a production possibility Chart assistant outlining opportunity cost?
How does a production possibility chart assist in outlining opportunity cost?
It compares production numbers of one product to another
. … Wanting to expand into selling potted plants, they create a production possibility chart to asses whether the potted plants are a good idea.
What factors go into the opportunity cost of a decision?
- Money. With financial considerations to weigh, the key question to ask before making an opportunity cost decision is what else would you do with the money you're about to spend on a single decision? …
- Time. …
- Effort/Sweat equity.
What are the three main questions of economics addresses who should?
In order to meet the needs of its people, every society must answer three basic economic questions:
What should we produce? How should we produce it? For whom should we produce it?
How many potted plants should you have on day 3?
That chart showed that they would be able to produce around
50 potted plants
on day 3.
What are the three economic questions deals with deciding?
One of the three main questions of economics addresses who should:
produce goods and services
. market goods and services. receive goods and services.
What is a graphical representation of the combination of goods and services that can be produces in a situation?
A production possibilities curve
A graphical representation of the alternative combinations of goods and services an economy can produce. is a graphical representation of the alternative combinations of goods and services an economy can produce. It illustrates the production possibilities model.
What is a graphical representation of the combination of goods and services that can be produced in a situation production possibility curve?
Key Points.
The Production Possibilities Frontier (PPF)
is a graph that shows all the different combinations of output of two goods that can be produced using available resources and technology. The PPF captures the concepts of scarcity, choice, and tradeoffs.
Why is a production possibilities curve sometimes called a production possibilities frontier?
The production possibilities curve (PPC) is a graph that shows all of the different combinations of output that can be produced given current resources and technology. Sometimes called the production possibilities frontier (PPF), the PPC
illustrates scarcity and tradeoffs
.
How does a production possibilities frontier show efficient uses of a country's resources?
T3: How does a production possibilities frontier show efficient uses of a country's resources? A production possibilities frontier shows efficient uses of a country's resources
because it shows that the country is using all of their resources efficiently to maximize production
.
How does the production possibilities frontier illustrate scarcity?
Points either on or inside the frontier, points like B and A, are attainable with the currently level of resources and technology. The addition of the PPF curve thus illustrates scarcity by
dividing production space into attainable and unattainable levels of production.
How do you achieve productive efficiency?
To be productively efficient means
the economy must be producing on its production possibility frontier
. (i.e. it is impossible to produce more of one good without producing less of another). Points A and B are productively efficient.
What does a bowed out PPC mean?
The shape of a
production possibility curve
(PPC) reveals important information about the opportunity cost involved in producing two goods. … When the PPC is concave (bowed out), opportunity costs increase as you move along the curve. When the PPC is convex (bowed in), opportunity costs are decreasing.
What is the formula for calculating opportunity cost?
Opportunity cost is calculated by applying the following formula:
Opportunity Cost = Return on Most Profitable Investment Choice – Return on Investment Chosen to Pursue
.
What are the four factors of production?
Economists divide the factors of production into four categories:
land, labor, capital, and entrepreneurship
. The first factor of production is land, but this includes any natural resource used to produce goods and services. This includes not just land, but anything that comes from the land.
What shows alternative ways to use an economy's productive resources?
A production possibilities curve
is a graph that shows alternative ways to use an economy's productive resources.
How does a mixed economy answer the three economic questions?
A mixed economy
combines elements of tradi- tional, market, and command economic models
to answer the three basic economic questions. Because each nation's economy is a different blend of these three economic models, econo- mists classify them according to the degree of government control.
What are the main questions of economics involves deciding upon the method for?
- One of the main questions of economics involves deciding upon the method for. …
- A society decides that it needs to produce more corn to feed the growing population. …
- Which of the following is an example of a land resource? …
- Which consideration must be addressed when deciding for whom to produce?
What factors should be considered when deciding how goods and services should be produced?
- Factors of production is an economic term that describes the inputs used in the production of goods or services to make an economic profit.
- These include any resource needed for the creation of a good or service.
- The factors of production are land, labor, capital, and entrepreneurship.
Can a planter be too big?
A pot that is too large for a plant
can hold too much water in the soil
or take too long to dry out, which can lead to mold growth, rot and root diseases. Too large of a plant pot also can make it difficult to keep the soil firmly packed around the plant's roots.
How do you fertilize plants?
Simply
apply the fertilizer around the base of the plant
, extending to the drip line. For vegetables, place the fertilizer in a strip parallel to the planting row. Water-soluble fertilizers are faster acting but must be applied more frequently. This method gives plants food while you water.
How do you fertilize a potted plant?
Applying
liquid fertilizer
to potted plants – Mix the recommended amount of liquid fertilizer and water in a watering can. Then simply pour the mix into the soil as if you're watering the plant. You can also put some into a spray bottle, and spray it on the leaves for foliar feeding.
Which consideration must a society addressed when deciding for whom to produce a potentially scarce or limited resource?
Answer: Who has the greatest need. The consideration that must be addressed when deciding for whom to produce is
to determine who needs the goods and services that are to be produced
.
Why production possibility frontier is bowed outward?
The short answer is: increasing opportunity cost. The PPF is bowed outward because
resources are not all equally productive in all activities
. … The more we produce of either good, the less productive are the additional resources we use and the larger is the opportunity cost of one unit of that good.
How the production possibility curve is useful to illustrate the economic concepts?
The Production Possibilities Curve (PPC) is a model used
to show the tradeoffs associated with allocating resources between the production of two goods
. The PPC can be used to illustrate the concepts of scarcity, opportunity cost, efficiency, inefficiency, economic growth, and contractions.
Which factors are considered when deciding how do you make goods and services choose three answer?
The factors of production in an economy are its
labor, capital, and natural resources
. Labor is the human effort that can be applied to the production of goods and services. People who are employed—or are available to be—are considered part of the labor available to the economy.
How is each nation's economic system determined?
Traditional systems focus on the basics of goods, services, and work, and they are influenced by
traditions and beliefs
. A centralized authority influences command systems, while a market system is under the control of forces of demand and supply. Lastly, mixed economies are a combination of command and market systems.
What are the two main factors of economic growth according to the production possibility frontier model?
The simplest way to show economic growth is to bundle all goods into two basic categories,
consumer and capital goods
. An outward shift of a PPF means that an economy has increased its capacity to produce.
How does a production possibility Chart assistant outlining opportunity cost?
How does a production possibility chart assist in outlining opportunity cost?
It compares production numbers of one product to another
. … Wanting to expand into selling potted plants, they create a production possibility chart to asses whether the potted plants are a good idea.
What does a production possibilities curve represent a combination?
A production possibilities curve shows
the maximum combinations of two goods and services that an economy can produce when resources are fully used and the best technology is applied
. … In order to achieve the best combination, the economy should produce at the point where marginal benefit and marginal cost are equal.
How does a production possibilities curve illustrate opportunity cost?
How does a production possibilities curve illustrate opportunity cost?
It shows how much were giving up for the other item
. For example to produce 8 million tons of watermelons we have to give up making 1 million pairs of shoes, because resources are limited.
What is production possibilities frontier example?
Definition and Examples of the Production Possibilities Curve. The curve
measures the trade-off between producing one good versus another
. For example, say an economy produces 20,000 oranges and 120,000 apples. … If it wants to produce more oranges, it must produce fewer apples.
