Question :
11.The slope of a production possibilities frontier measures:
A. the opportunity cost : 1378977
11.The slope of a production possibilities frontier measures:
A. the opportunity cost of producing one good in terms of the other.
B. the trade-off inherent in the production of one good versus the other.
C. how much of one good that must be given up in order to produce the other.
D. All of these statements are true.
12.
Consider the production possibilities frontier displayed in the figure shown. A society will choose to produce:
A. at point C because it is the safest.
B. at point D because it is the most apples they can produce.
C. at point A because it is always best to produce some of each good.
D. None of these statements is necessarily true.
13.
Consider the production possibilities frontier displayed in the figure shown. The opportunity cost of a bushel of apples is:
A. 15/100.
B. 20/400.
C. 5/200.
D. 10/300.
14.
Consider the production possibilities frontier displayed in the figure shown. The opportunity cost of one watermelon is:
A. 10 bushels of apples.
B. 20 bushels of apples.
C. 30 bushels of apples.
D. 40 bushels of apples.
15.
Consider the production possibilities frontier displayed in the figure shown. If this society chooses to produce 200 bushels of apples:
A. they can produce no more than 20 watermelons.
B. they can produce no more than 15 watermelons.
C. they can produce no more than 10 watermelons.
D. they can produce no more than 5 watermelons.
16.
Consider the production possibilities frontier displayed in the figure shown. Which of the following combinations could be produced?
A. (20 watermelons, 400 bushels of apples)
B. (15 watermelons, 100 bushels of apples)
C. (10 watermelons, 300 bushels of apples)
D. (10 watermelons, 400 bushels of apples)
17.
Consider the production possibilities frontier displayed in the figure shown. Which of the following combinations could not be produced?
A. (20 watermelons, 400 bushels of apples)
B. (15 watermelons, 100 bushels of apples)
C. (10 watermelons, 150 bushels of apples)
D. (0 watermelons, 400 bushels of apples)
18.
Consider the production possibilities frontier displayed in the figure shown. If this society chooses to produce 15 watermelons:
A. they can produce no more than 400 bushels of apples.
B. they can produce no more than 300 bushels of apples.
C. they can produce no more than 200 bushels of apples.
D. they can produce no more than 100 bushels of apples.
19.
Consider the production possibilities frontier displayed in the figure shown. Which of the following statements is true?
A. The opportunity cost of one watermelon will decrease as more watermelons are produced.
B. The opportunity cost of one watermelon is constant.
C. The opportunity cost of one watermelon will increase as more watermelons are produced.
D. The opportunity cost of one watermelon is very low at point C.
20.If we consider the reality that each worker has different skills, then the production possibilities frontier:
A. would have a convex shape.
B. would have a concave shape.
C. would be a straight line.
D. would shift outward.
