Module 1 Problem Set

profilejulier21
CopyofM1_problem_sets_1-1.xlsx
Home>Business & Finance homework help>Economics homework help>Module 1 Problem Set

Module 1 Problem Sets

Principles of Economics
Name:
Date:

Question #1

Question #1: List some constraints on our labor force that prevent our fully using our plant and equipment 24 hours a day, seven days a week
Answers:
1
2
3

Question #2

Question #2: When we are efficiently allocating our resources and using the best available technology, we are operating on our _________________________.
Answer:

Question #3

Question #3: Economic growth can be attained by:
Answer:
1
2

Question #4

Question #4: Full employment implies an unemployment rate of about ____________ percent.
Answer:

Question #5

Question #5: The law of increasing costs states that, as the output of one good expands, ________________________.
Answer:

Question #6a

Question #6a: If we were at point C, could we quickly produce substantially more houses and more cars?
Answer:

Question #6b

Question #6b: If we were at point M, could we quickly produce substantially more houses andmore cars?
Answer:

Question #6c

Question #6c: If we were at point C, could we quickly go to point J?
Answer:

Question #7

Question #7: Fill in the following points:
Point X: where our economy generally operates
Point Y: a serious recession
Point Z: a catastrophic depression
Point W: economic growth
Answer:

Question #8

Question #8: Use the following illustration to answer the questions below:
a. What is the opportunity cost of going from point B to point C?
b. What is the opportunity cost of going from point D to point C?
c. What is the opportunity cost of gong from point B to point A?
d. What is the opportunity cost of going from point C to point D?
Answers:
a.
b.
c.
d.

Question #9

Question #9: The basis for international trade is _____________________________________.
Answer:

Question #10

Question #10: Brazil is better at producing ______________________________
than at producing_______________________________________.
Argentina is better at producing _____________________________
than at producing _______________________________________.
Answers:

Question #11

Question #11: If one (1) ton of steel could be traded for one (1) ton of wheat, Brazil
would trade its _____________________________________ for Argentina's
_____________________________________________.
Answers:

Question #12

Question #11: Bolivia has a comparative advantage in the production of which type of metal?
Answer:

Question #13

Question #13: Chile has a comparative advantage in the production of which, type of metal?
Answer:

Question #14

Question #14: Bolivia will trade ____________________________ for _____________________________.
Answers:

Question #15

Question #15: Chile will trade __________________________________ for _______________________________________.
Answers: