Question : 31) The table above shows a production possibilities frontier for : 1238993

31) The table above shows a production possibilities frontier for an economy. If the economy tried to produce a combination of 250 loaves of bread and 800 books,

A) there is some unemployment.

B) there is full employment.

C) the tradeoff between bread and books is inefficient.

D) it cannot produce this combination because it lacks enough resources or technology.

E) it is enjoying a free lunch.

32) The figure above shows the production possibilities frontier for a country. A combination of 4 million gallons of milk and 4 million gallons of ice cream is

A) unattainable.

B) attainable and production efficient.

C) attainable and production inefficient.

D) unattainable and production efficient.

E) More information is needed to determine if the point is attainable or not.

33) The figure above shows the production possibilities frontier for a country. A combination of 3 million gallons of milk and 3 million gallons of ice cream is

A) unattainable.

B) attainable and production efficient.

C) attainable and production inefficient.

D) unattainable and production efficient.

E) More information is needed to determine if the point is attainable or not.

34) The figure above shows the production possibilities frontier for a country. A combination of 2 million gallons of milk and 2 million gallons of ice cream is

A) unattainable.

B) attainable and production efficient.

C) attainable and production inefficient.

D) attainable but more than production efficient.

E) More information is needed to determine if the point is attainable or not.

35) Point D in the above PPF figure is

A) an attainable production combination with unemployed resources.

B) a tradeoff.

C) an unattainable production combination.

D) a production combination that can be attained once resources are fully employed.

E) More information is needed to determine which of the above answers is correct.

36) Which point in the figure above is an attainable combination that would have unemployed resources?

A) point A

B) point B

C) point C

D) point D

E) point A and point B

37) The figure above shows a nation’s production possibilities frontier. In the figure, point A shows

A) the maximum quantity of pizza that can be produced.

B) the minimum quantity of pizza that the society must produce.

C) an unattainable point.

D) an attainable point with unemployed resources.

E) More information is needed to determine which of the above answers is correct.

38) The figure above shows a nation’s production possibilities frontier. In the figure, point B shows

A) an unattainable point.

B) an attainable point.

C) a point with a free lunch.

D) a point with no trade off.

E) a point at which there are unemployed resources.

39) The figure above shows the production possibilities frontier for a country. In order for it to produce at point E, the

A) country would need to acquire more resources and/or more advanced technology.

B) production of compact cars would need to decrease.

C) production of SUVs would need to decrease.

D) country would need to use its resources more efficiently.

E) country would need to determine that compact cars and SUVs are equally important to it.

40) The figure above shows the production possibilities frontier for a country. If the country is producing at point D, then the

A) resources are being used efficiently.

B) technology associated with producing SUVs and compact cars is advancing.

C) resources are not being used efficiently and/or are unemployed.

D) production of SUVs and compact cars is maximized.

E) None of the above answers are correct because it is not possible to produce at point D.