which of the following is true regarding this economic model?

Exchange rates are stable and predictable. At these points, it is possible to increase the production of both goods because some resources are unemployed. Taxes You know the difficulty of remote team members forming bonds with each other. households are buyers, and firms are sellers.c. B \text{Machine hours}\ldots\ldots\ldots & \text{200 MH} & \text{3,750 MH}\\ Because of the drought, fewer bushels of alfalfa can be produced on any given amount of land; however, there is no reason to think that the maximum amount of construction vehicles that can be produced would change. All Americans should earn more than $25,000 per year. These decisions provide people with the greatest benefit or satisfaction . It is bordered by Italy to the south, France to the west, Germany to the north and Austria and Liechtenstein to the east.. Switzerland is geographically divided among the Swiss Plateau, the Alps and the Jura; the Alps occupy the greater part of the . The fact that there are only two goods produced in this theoretical economy, when, in reality, economies produce many more types of goods, means this model is generally useless. The fact that there are only two goods produced in this theoretical economy is a simplifying assumption that still allows economists demonstrate key economic concepts. \text{Dry materials} \ldots\ldots\ldots & \text{Pounds} & \text{6,941}\\ Based on this model, households earn income when firms purchase factors in factor markets. 4). 7. Make a chart of Gretel's schedule, with driving times and service times. A) Set clear expectations for each team member, with SMART goals. False It is a concave curve which shows the combination of the, A: Economics is a branch of social science that deals with the production, distribution, and, A: PPF shows the different combinations of two goods that can be produced with available resources. C. a fixed lead time. You can specify conditions of storing and accessing cookies in your browser. c. However, positive statements can always be supported or refuted by data, while normative statements require a larger philosophical framework to evaluate. \text{Labels}\ldots\ldots\ldots & \text{3 labels per bottle} & \text{1 label per bottle}\\ -The $400 per week Sam earns working for Dinah's Diner. The minimum wage should be raised to $15 per hour. b. Balance of Payments When we are discussing international trade, we are focusing on the flow of goods and services, as well as capital, among countries. Macroeconomics is the study of factors that affect the entire economy. 20 Jack owns a convertible bond with a $1,000 face value that can be exchanged for (C)r Larry spends half his time on each activity, whileMoe only washes cars and Curly only mowslawns. The optimal interest rate for the Federal Reserve to target MACRO Macroeconomics studies the application of economics across an economy. B Suppose that Jacques, an economist from a university in Arizona, and Kyoko, an economist from a school of industrial relations, are arguing over government bailouts. Final Exam Chapter 12 Flashcards | Quizlet The project sponsor asks the project manager to spend less money on materials. If Hi-Voltage sells for $3.75 per bottle, how much profit does the company earn per bottle of Hi-Voltage that it sells? In what sense is economics like a science? Kyoko: You really think households would change their saving behavior enough in response to this to make a difference? Consider the following production possibilities frontier model for an economy that produces only two. The circular-flow diagram illustrates that, in marketsfor the factors of production,a. POB 5.01 DRAFT. an; an By grouping all individuals into households and firms and all markets into markets for goods and, services and markets for factors of production, economists can model how dollars and resources flow, back and forth among agents in the economy. a; a, 10). His opportunity cost of producing a third truck per day is 5 balls per day. Raising the minimum wage reduces the number of employment opportunities for low skilled workers. Microeconomics is the study of how prices and quantities are determined through interactions between buyers and sellers (individuals and firms) in individual markets. Diego When the Current Account and the Capital Account are added together. Economics assumes that people, businesses and governments make good decisions which is trading at $50 per share. Pillmart Pharmacy (a firm) pays Tim (a household) $200 for his labor. While simple, the circular-flow diagram can still be useful for the purposes of modeling how dollars and resources move throughout an economy. Wages, interest and transfer payments D. a fixed purchase price per unit. Direction: Plot the Production Possibilities Frontier of the below-data with good X on the horizontal axis and good Y on the vertical axis. PRODUCT. The outer set of arrows (shown in green) shows the flow of dollars, and the inner set of arrows (shown in red) shows the corresponding flow of inputs and outputs. Which of the following is true regarding this economic model? It would be harder to find two randomly chosen economists who both agree with either of the other propositions. b. Y Suppose South Africa produces two types of goods: agricultural and capital. Housing prices rose very rapidly during 2002 to 2007. POS What Is Rational Choice Theory? - Investopedia 24 To make sense of all of the different aspects of an economy, economists must make, simplifying assumptions and generalizations in order to focus on only the most important economic, ideas. Wants Your physics assignments can be a real challenge, and the due date can be really close feel free to use our assistance and get the desired result. Which of the following is a normative statement? Under severe restrictions Are any of the allocations calculated inpart a inefficient? a; an Valerie earns $550 per week working for A-Plus Accountants. e to acknowledge Points located on the production possibilities frontier, such as E and F, represent efficient output combinations. ECO 102 Macroeconomics Unit 1 Milestone 1 Sophia Course Points located inside the production possibilities frontier, such as A and B, represent inefficient output combinations. 0 d. Chocolate bar It would be harder to find two randomly chosen economists who both agree with either of the other propositions. 2023 BrainRouter LTD. All rights reserved. There are two main reasons that economists tend to disagree: differences in values and differences in scientific judgments. Consider the following production possibilities frontier model for an The following diagram presents a circular-flow model of a simple economy. for any assignment or question with DETAILED EXPLANATIONS! The fact that there are only two goods produced in this theoretical economy is a simplifying assumption that still allows economists to demonstrate key economic concepts. 25 shares of WUF stock, Answered: Which of the following is true | bartleby Kyoko: I don't know about that. The outer set of arrows (shown in green) shows the flow of dollars, and the inner set of arrows (shown in red) shows the corresponding flow of inputs and outputs. \text{Bottling department}\\ Indeed, one survey that 93% of economists agree with this proposition. The fact that there are only two goods produced in this theoretical economy is a simplifying assumption that still allows economists to demonstrate key economic concepts. For instance, when you look at the vertical axis, you see that if the United Kingdom produces zero bushels of corn, it can initially produce a maximum of 90,000 industrial robots per year. Does this vary based on the situation? Suppose Jacques is currently using combination D, producing one truck per day. Unlimited Most questions about economics address the. B800400 How do you suppose that the wage set by a union compares to the wage in a competitive market? DepartmentDriverCostMixingdepartmentLiquidmaterialsGallons$2,304DrymaterialsPounds6,941UtilitiesMachinehours1,422BottlingdepartmentBottlesUnits$77,000LabelingLabelsperbottle6,525MachinesetupSetups20,000\begin{matrix} There are three certainties in this world: Death, Taxes and Homework Assignments. In contrast, differences in scientific judgments are due to differing opinions about factual matters, e.g., the relative merits of competing theories or the values of economic parameters. FACTOR * This PPF is not an economic model. The fact that there are only two goods produced in this theoretical economy is a simplifying assumption that still allows economists to demonstrate key economic concepts. The fact that there are only two goods produced in this theoretical economy, when, in reality, economies produce many more types of goods, means this model is generally useless. She uses $9 to order a mojito cocktail at Little Havana. Kyoko: Thanks to recent financial crises, the concept of bailouts is a hot topic for debate among everyone these days. The following graph shows Japan's current production possibilities frontier, along with six output combinations represented by black points (plus symbols) labeled A to F. Every output combination on the production possibilities frontier shows an efficient output combination for Japan. 3. The goal of a monopoly firm is to maximize profits. These resources could be used to produce more food. Similarly, when you look at the horizontal axis, you see that if South Africa produces zero construction vehicles, it can initially produce a maximum of 30 million bushels of alfalfa per year. E 9th - 12th grade. For example, two economists chosen at random are most likely to agree that rent ceilings reduce the quantity and quality of available housing. Dmitri: I think it is oppressive for the government to tax people who take care of themselves in order to pay for health insurance for those who are obese. 0 Trade Surplus/Deficit 4. The outer set of arrows (shown in green) shows the flow of dollars, and the inner set of arrows (shown in red) shows the corresponding flow of inputs and outputs. Scarcity means that resources are: Eastview Live | By Eastview Baptist Church | Facebook | Thursday. Uh we Question: Which of the following is true regarding this economic model? economies produce many more types of goods, means this model is generally useless. In the circular-flow model of an economy, households own all the factors of production. Note that describing a statement as positive or normative is not the same as describing it as true or false. BARLEY (Miions of busheis) \text{Machine setups} \ldots\ldots\ldots & \text{500 setups} & \text{300 setups}\\ NORM The U.S. government has shut down a number of times in recent history. The disagreement between these economists is most likely due to differences in values . Consider the following production possibilities frontier model for an economy that produces only two goods: alfalfa and smartphones. Which of the following is true regarding this economic model? Households, earn their income when firms purchase or rent these factors of production to use them to produce. The economic, A: Production possibility frontier shows combinations of goods that can be produced using all the, A: Ppc shows the possibility of production with given resources and technology . Suppose Crystal earns $600 per week working as a doctor for the Medical Clinic. , gh it was immature attempt at humor. NORM C) Have regularly scheduled performance reviews. Indeed, economies typically consist of millions of individuals interacting in, many different ways. 40 Selena pays a storekeeper $1 for a quart of milk.b. Communism (from Latin communis, 'common, universal') [1] [2] is a left-wing to far-left sociopolitical, philosophical, and economic ideology within the socialist movement, [1] whose goal is the establishment of a communist society, a socioeconomic order centered around common ownership of the means of production, distribution, and exchange that . It is immoral for a government to redistribute money from one person to another. \text{Bottles} \ldots\ldots\ldots & \text{Units} & \text{\$77,000}\\ Define microeconomics and macroeconohdics. Goods and services have a price because B) It provides you an opportunity to share the latest company news with your remote team members. F02000 0 itive comment between constructive feedback. O This PPF is not an economic model. \text{Liquid materials}\ldots\ldots\ldots & \text{1,400 gallons} & \text{37,000 gallons}\\ In order to construct such a model, an economist would need real life data regarding countries that only produce two goods. While simple, the circular-flow diagram can still be useful for the purposes of modeling how dollars and resources move throughout an economy. = Co + c1(Y T) Shanna spends $40 to get a haircut.d. 20 4/36=0.11 However, they need to be checked by the moderator before being published. CombinationCars Television The fact that there are only two goods produced in this theoretical economy is a simplifying assumption that still allows economists to demonstrate key economic concepts. 2. The fact that there are only two goods produced in this theoretical economy is a simplifying. C600800 The simplicity of the model allows those without formal, backgrounds in economics to understand, at a high level, the economic activities that take place in an, Based on this model, households earn income when, In the circular-flow model of an economy, households own all the factors of production. The disagreement between these economists is most likely due to difference sin scientific judgement. 4. Balance of Payments 2. Brian uses $225 to purchase medical services from the Medical Clinic. It implies that the interest, A: Macroeconomics is the discipline of economics concerned with the overall structure, performance,, A: Answer a) Which one of the following factors could have caused the Rightward shift in the curve from AD0 to AD, Suppose Ghana produces cocoa and timber, and the following hypothetical data is provided for 2016 an, If 8 million kegs are sold, MB exceeds MC, which means that. In Scenario D = 15 bananas and 70 apples are. C. Holding cost per unit per year is independent of order quantity. GOOD Economists therefore adopt simplifications to explain concepts and create insights into how the real economy works. Economic model are made to study certain specific variables and Current Account 3. Explain. 4 When the government increases taxes, rates of tax evasion increase. A normative statement is one that offers an opinion as to the way the world should be. In contrast, disagreement due to differences in values reflect differing assessments on fairness or equity. Because the flu epidemic decreases the number of industrial robots the United Kingdom can produce, you should have moved the point to 60,000 industrial robots per year. Why or why not? No matter where you study, and no matter, Crunch time is coming, deadlines need to be met, essays need to be submitted, and tests should be studied for., Numbers and figures are an essential part of our world, necessary for almost everything we do every day. Suppose that Dmitri, an economist from a research institute in Texas, and Frances, an economist from a university in Massachusetts, are arguing over health insurance. A) It provides you an opportunity to acknowledge the assistance of a remote team member. Jacques's opportunity cost of producing the second truck per day is 3 balls per day while the opportunity cost of producing the third truck per day is 5 balls per day. The young person's choice maximizes lifetime welfare What is the common difference between the allocation of joint costs to ( a ) joint products and ( b ) by-products? For example, two economists chosen at random are most likely to agree that employers should not be restricted from outsourcing work to foreign nations. Which of the elements of this scenario represent a flow from a firm to a household? A consumer's optimal choice when buying a flat-screen TV MICRO. What is Production Possibility Frontier? Capital Account 1. In contrast, disagreement due to differences in values reflect differing assessments on fairness or equity. PPF model the production possibility frontier states that two types of goods can be produced, at any given time of production, and for certain resources provided. His opportunity cost of producing a second truck per day is 3 balls per day. However, now that he has the tool, it means giving up two trucks. Multiple Choice Question 18 The opportunity cost of buying the chocolate bar is a. OIn order to construct such a model, an economist would need real ife data regarding countries that produce only two goods True A. CH-2 Thinking Like an Economist Flashcards | Quizlet 60 A) It provides you an opportunity to acknowledge the assistance of a remote team member. The points on the production possibilities frontier represent all combinations of output produced using all of the nation's available resources and its current technology, such that the nation cannot produce more of one good without producing less of the other. You'll get a detailed solution from a subject matter expert that helps you learn core concepts. Consider the following production possibilities frontier model for an economy that produces only two goods: barley and tablets. 8 -The effect of an increase in the money supply on the rate of inflation, ECON 102- Problem Solving: Thinking Like an E, Alexander Holmes, Barbara Illowsky, Susan Dean, Statistical Techniques in Business and Economics, Douglas A. Lind, Samuel A. Wathen, William G. Marchal, David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams. Economics models can accurately pinpoint changes in exchange rates. Suppose that Yakov, an economist from a business school in Georgia, and Ana, an economist from a school of industrial relations, are arguing over government bailouts. The basic Economic problem is The data below shows the various production possibilities for an economy that produces two goods, cars, and television sets. 42 this economy always operates on its productions possibilities frontier. 4. There are two main reasons that economists tend to disagree: differences in values and differences in scientific judgments. A consumer's optimal choice when buying a flat-screen TV MICRO Sam uses $150 to purchase air travel to Hawaii from Flyaway Airlines. Therefore, macroeconomists tend to create models to analyze how aggregate phenomena such as growth, inflation, and unemployment respond to policy decisions of governments and central banks, changes in aggregate spending or savings, and supply or demand shocks.