2. Introductory Economic Models

Which of the following is an illustration of the law of increasing opportunity costs?

Units of production or units of output are alternative terms for the:

On a production possibilities frontier (PPF), where would a point representing full employment and productive efficiency be located?

Refer to Table 13-2. At which number of workers does diminishing marginal product begin?

Production activities for a customized product represent a(n):

Refer to Figure 2-2. At point A in the production possibilities graph shown above, the economy:

On a production possibilities frontier (PPF) for butter and shoes, which point represents the optimal mix of producing butter and shoes?

For an entire economy, the production possibilities frontier (PPF) is typically:

On a typical long-run average cost curve, the minimum efficient scale (MES) is reached at the output level where the curve first becomes flat. If the curve is flat at an output of 100 units, at what output level does the minimum efficient scale occur?

Which of the following is true when total product is at its maximum on a production possibilities frontier (PPF)?

It takes a considerable amount of time to increase the production of pork. This implies that:

Which of the following statements is NOT true regarding production technologies in the context of the Production Possibilities Frontier (PPF)?

Dividing the steps of production between workers is known as:

Which of the following best explains why the production possibilities frontier (PPF) is typically bowed outward in a graph?

Which of the following is true if the bottom of the long run average cost (LRAC) curve is relatively flat?