understanding

 Fully answer the assigned questions in narrative, third person format.  The paper consist of 1200 WORDS. Also, include at least  three (3) scholarly sources in your responses. Paper must be completed in APA format. NO PLAGIARISM! The assignment must  be completed by Saturday October 6,2018 at 11:30PM central time. MUST BE SUBMITTED ON TIME MEETING ALL EXPECTATIONS 

1.Write  a short essay explaining the four primary groups of production.   Include in your explanation an example of each group as well as what we  call the payment each group receives.

2.(a) What do economists mean by the acronym TANSTAAFL.  

(b) How would this concept apply to the policy of giving everyone  “free” college tuition? Use the concepts of efficiency and equity to  support your explanation.

3.(a)  Suppose you earn a $10,000 cash bonus at your job.  You use all of the  money to purchase a car.  Explain how both the cash and the automobile  would flow through the Circular Flow diagram.  Be sure to include both  the product and factor markets as well as households and firms in your  description.  
 

(b) Draw a circular flow diagram and place it in the Drop Box to support your explanation.  
 

[You may draw your diagram by hand and take a photo with your phone.   E-mail the photo to yourself and download the photo or save to Google  Drive.  You will then be able to upload it to the Drop Box.]

4.On the production possibilities curve (PPC), there are points that are not attainable (N), efficient, and inefficient (I).  
 

(a) Briefly explain where an economy would prefer to be on the PPC.  
 

(b) Can the economy operate at point N?  Explain why or why not.  
 

(c) Can the economy operate at point I?  Explain why or why not.

5.(a) Explain, in your own words, the Law of Increasing Opportunity Cost.  
 

(b)  What is the reason for the law?  
 

(c)  Give a brief example where you have observed this law in your own life.