Question

Consider two points on the production possibilities frontier point X, at which there are 100 cars and 78 trucks, an point Y, at which there are 90 cars and 70 trucks. If the economy is currently at point X the opportunity cost of moving to point Y is? a. 12 cars. b. I trucks. c. 10 cars. d. 79 trucks. e, none of the above. 12. The production possibilities frontier represents the possible combinations of two goods that an economy can produce. a, in a certain time b. in a certain time, under the condition of a given state of resources. c. given that there are not unemployed resources. d. under the condition of efficient production e, none of the answer is complete enough. 13. When the economy exhibits inefficiency, it is not producing the a maximum output with the available resources and technology. b. minimum output with minimum resources and technology. c. the goods and services consumers wish to buy. d. b and c.

Answer 1

11. e. None of the above

12. e. none of the answers are complete enough

13. a. maximum output with the available resources and technology