Over time, what happens if a nation devotes more ore its production to capital goods? or...
Over time, what happens if a nation devotes more ore its production to capital goods? or consumer goods? (Macroeconomic)
Homework Answers
There is a difference in the possible outcome when a nation devotes most of its resources in the production of capital goods versus consumer goods. Production of capital goods results in increasing the production possibilities because capital accumulation helps in increasing the economic growth. In contrast consumer goods are generally consumed at one stage and they do not help in increasing the production possibilities. This indicates that if a nation devotes most of its resources in the production of consumption goods then the production possibilities Frontier will not shift outwards overtime. However if the same is done for capital goods, economic growth is increased which means production possibilities Frontier will shift out, enabling the economy to attain previously unattainable production possibilities combinations.
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Over time, what happens if a nation devotes more ore its
production to capital goods? or...
1.. Which is a more accurate way to compare GDP over time? 2. What happens during the expansion p...
Help me please :)
1.. Which is a more accurate way to compare GDP over time? 2. What happens during the expansion phase of a business cycle? 3. What happens during the contraction phase of a business cycle? 4. List two synonyms for the contraction phase of a business cycle. 5. Why is unemployment an important tool in identifying which stage of the business cycle the economy is in? 6. What are the weaknesses of using the unemployment rate as...
Which of the following statements, if any, is correct for a nation that is producing only...
Which of the following statements, if any, is correct for a nation that is producing only consumer and capital goods? Multiple Choice None of these statements are correct. Other things equal, the more consumer goods a nation produces, the greater will be its future growth rate. There is no general relationship between the current division of output between consumer and capital goods and the future growth rate. Other things equal, the more capital goods a nation produces, the greater will...
An economy produces two goods: capital goods and consumer goods. Points on the production possibilities curve...
An economy produces two goods: capital goods and consumer goods. Points on the production possibilities curve appear below: 2. roduction alternatives Capital ds per period Consumer goods per period 2018 14 8 A. If the economy is producing at alternative X, the opportunity cost of producing at Y instead of X is period a. 0 C. The production of 14 units of consumer goo and 1 unit of capital goods per period would a. result in full employment b. result...
Suppose there are two economies, Alpha and Beta, which have the same production possibilities curves. If...
Suppose there are two economies, Alpha and Beta, which have the same production possibilities curves. If Beta devotes more resources to produce capital goods than consumer goods as compared to Alpha, then in the future 10 2 Consumer Goods Alpha will not be able to achieve full employment or productive efficiency Beta will not be able to achieve full employment or productive efficiency Beta will experience greater economic growth than Alpha
The table below contains production possibilties data for capital goods and consumer goods in the economy...
The table below contains production possibilties data for capital goods and consumer goods in the economy of New Harmony 18 16 14 20 Consumer goods 40 36 a. Draw the production possibilities curve (PPC) for New Harmony.Plot eech point in the graph below using the tool PP1 for part (o) and PP2 for part PPlot 5 points in the graph below for part (a) and anothier 5 points for part . Fill in the table below assuming that, 10 years...
12. What happens with no diminishing returns? Consider a Solow model where the production function no...
12. What happens with no diminishing returns? Consider a Solow model where the production function no longer exhibits diminishing returns to capital accu- mulation. This is not particularly realistic, for reasons discussed in Chapter 4. But it is interesting to consider this case nonetheless because of what it tells us about the workings of the Solow model. Assume the production function is now Y, = AK. The rest of the model is unchanged. (a) Draw the Solow diagram in this...
If a nation has a surplus in its current account, 1. it exports fewer goods than...
If a nation has a surplus in its current account, 1. it exports fewer goods than it imports 2. it exports more goods than it imports 3. the value of its currency should fall 4. the value of its currency should rise
Part 1 Below is a production possibilities table for consumer goods (butter) and capital goods (guns)....
Part 1 Below is a production possibilities table for consumer goods (butter) and capital goods (guns). Production Possibilities Type of Production Production Alternative A Production Alternative B Production Alternative C Production Alternative D Production Alternative E Production Alternative F Production Alternative G Butter 0 1 2 3 4 5 6 Guns 14 13 11 9 7 4 0 Graph the data provided in the table using Excel. (Hints: Type your data into an Excel spreadsheet. With your mouse, highlight the...
Explain the time constant in simple RC circuit? What happens to charging time when connecting more...
Explain the time constant in simple RC circuit? What happens to charging time when connecting more capacitors in serial with the circuit? What happens to charging time when connecting more capacitors in parallel with the circuit?
Capital Goods BD Consumer Goods Refer to the graph. Growth of production capacity is shown by...
Capital Goods BD Consumer Goods Refer to the graph. Growth of production capacity is shown by the Refer to the graph. Growth of production capacity is shown by the Multiple Choice movement away from point A and toward point B. movement away from point B and toward point A shift from AB to CD shift from CD to AB
Help me please :)
1.. Which is a more accurate way to compare GDP over time? 2. What happens during the expansion phase of a business cycle? 3. What happens during the contraction phase of a business cycle? 4. List two synonyms for the contraction phase of a business cycle. 5. Why is unemployment an important tool in identifying which stage of the business cycle the economy is in? 6. What are the weaknesses of using the unemployment rate as...
An economy produces two goods: capital goods and consumer goods. Points on the production possibilities curve appear below: 2. roduction alternatives Capital ds per period Consumer goods per period 2018 14 8 A. If the economy is producing at alternative X, the opportunity cost of producing at Y instead of X is period a. 0 C. The production of 14 units of consumer goo and 1 unit of capital goods per period would a. result in full employment b. result...
Suppose there are two economies, Alpha and Beta, which have the same production possibilities curves. If Beta devotes more resources to produce capital goods than consumer goods as compared to Alpha, then in the future 10 2 Consumer Goods Alpha will not be able to achieve full employment or productive efficiency Beta will not be able to achieve full employment or productive efficiency Beta will experience greater economic growth than Alpha
The table below contains production possibilties data for capital goods and consumer goods in the economy of New Harmony 18 16 14 20 Consumer goods 40 36 a. Draw the production possibilities curve (PPC) for New Harmony.Plot eech point in the graph below using the tool PP1 for part (o) and PP2 for part PPlot 5 points in the graph below for part (a) and anothier 5 points for part . Fill in the table below assuming that, 10 years...
12. What happens with no diminishing returns? Consider a Solow model where the production function no longer exhibits diminishing returns to capital accu- mulation. This is not particularly realistic, for reasons discussed in Chapter 4. But it is interesting to consider this case nonetheless because of what it tells us about the workings of the Solow model. Assume the production function is now Y, = AK. The rest of the model is unchanged. (a) Draw the Solow diagram in this...
Explain the time constant in simple RC circuit? What happens to charging time when connecting more capacitors in serial with the circuit? What happens to charging time when connecting more capacitors in parallel with the circuit?
Capital Goods BD Consumer Goods Refer to the graph. Growth of production capacity is shown by the Refer to the graph. Growth of production capacity is shown by the Multiple Choice movement away from point A and toward point B. movement away from point B and toward point A shift from AB to CD shift from CD to AB
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