NORM Demand rate is dependent on order quantity. goods, means this model is generaly useless. ) An increase in real GDP per capita implies that income is more evenly distributed in the economy. She uses $10 to have breakfast at Dinah's Diner. Tariffs and import quotas generally reduce economic welfare. Firms, in turn, earn revenue when households buy goods and services. Points located on the production possibilities frontier, such as E and F, represent efficient output combinations. last year it produced 50 units of food and 30 machines. There are two main reasons that economists tend to disagree: differences in values and differences in scientific judgments. Which of the following statements regarding economic growth is correct? 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. Tariffs and import quotas generally reduce economic welfare. Before he bought the tool, he would have to give up one truck. Cons. Show and explain why. An economy consists of three workers: Larry, Moe,and Curly. 40 While many economic questions are open to debate, the field is largely in agreement on some points. The following dialogue shows an excerpt from their debate: a; an Which of the following is true regarding this economic model? Exchange rates are set by governments and do not change often. c. Money The fact that they are only two goods produced in this theoretical economy, when, in reality, economies produce many more type. 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. \text{Utilities}\ldots\ldots\ldots & \text{Machine hours} & \text{1,422}\\ Tim earns $200 per week working for Pillmart Pharmacy. The following dialogue shows an excerpt from their debate: PRODUCT 6. This could be a, The $225 Brian spends to purchase medical services from the Medical Clinic, The $225 per week Brian earns working for Dinah's Diner, When Crystal (a household) supplies her labor to any firm, labor is an input (a factor of production) that, When the breakfast is provided to Crystal (a household), the breakfast is an output that flows from a. The economic model of supply and demand states that the price P of a product is determined by a balance between production at each price (supply S) and the desires of those with purchasing power at each price (demand D): the diagram shows a positive shift in demand from D 1 to D 2, resulting in an increase in price (P) and quantity sold (Q) of . What is the cost per bottle of EasySlim? Your comments have been successfully added. Economists therefore adopt simplifications to explain concepts and create insights into how the real economy works. Which of the following is a normative statement? Why or why not? Economics is part of the humanities because it studies human decision-making. For instance, if Japan is currently producing at point F and decides that it wants to produce more corn, it must produce fewer laptops. CARS (Miions), Which of the following is true regarding this economic model? Notice that one point is the same on the initial PPF and the new PPF. The $250 Tim spends to purchase necklace from Classy's Jewelry Store These resources could be used to produce more food. O This PPF is not an economic model. The purpose of economic models is not exactly to portray complex reality, but to produce insights into how it works. Is there an analogous goal for labor unions? B) Ensure that team members understand the larger goals of the company 1. Positive statements may be false (for example, "You are the king of Spain"), and normative statements may reflect the value judgments of a large majority of people (for example, "It is wrong to kill innocent children"). First week only $4.99! POS. Showan efficient point, an inefficient point, and an infeasible point. Sam uses $150 to purchase air travel to Hawaii from Flyaway Airlines. Check all that apply. Explain. 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. Note that describing a statement as positive or normative is not the same as describing it as true or false. I need help with understanding this. Circular Flow Diagram For women aged 60 to 69, breast cancer screening significantly reduces breast cancer mortality. Suppose an economist believes that the price level in the economy is directly related to the money supply, or the amount of money circulating in the economy. Moreover, a firm sells goods, when Dinah's Diner provides the breakfast to Crystal. (A)r All three spend all their time washing cars. 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 following dialogue shows an excerpt from their debate: Despite their differences, with which proposition are two economists chosen at random most likely to agree? 7. a.) Frances: I disagree. 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. As important. Start your trial now! A. At these points, it is impossible to increase the production of one good without producing less of the other. Brian uses $225 to purchase medical services from the Medical Clinic. The goal of a monopoly firm is to maximize profits. In order to construct such a model, an economist would need real life data regarding countries that only produce two goods. 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. Opportunity cost a; a, 10). Determine the cost of each product line using ABC. POS Opportunity cost is the loss of a quntity of a good, A: It takes Andy 45 minutes to complete a load of laundry and 15 minutes to wrap a present. 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. Which of the elements of this scenario represent a flow from a household to a firm? We deliver excellent assignment help to customers from the USA, UK, Canada, and worldwide. \text{Liquid materials} \ldots\ldots\ldots & \text{Gallons} & \text{\$ 2,304}\\ When Alyssa (a household) supplies her labor to any firm, labor is an input (a factor of production) that flows from a household to a firm. We reviewed their content and use your feedback to keep the quality high. A: Opportunity cost is the loss when selecting one alternative over the other. Economics is part of the humanities because it studies human decision-making. Direction: Plot the Production Possibilities Frontier of the below-data with good X on the horizontal axis and good Y on the vertical axis. A) It provides you an opportunity to acknowledge the assistance of a remote team member. a. 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. The project sponsor asks the project manager to spend less money on materials. The following diagram presents a circular-flow model of a simple economy. It would be harder to find two randomly chosen economists who both agree with either of the other propositions. Click below link for Answer Select the statement below that is true for BOTH supply AND demand. for any assignment or question with DETAILED EXPLANATIONS! ProductionvolumeLiquidmaterialsDrymaterialsBottlesLabelsMachinesetupsMachinehoursHi-Voltage12,500bottles1,400gallons620pounds12,500bottles3labelsperbottle500setups200MHEasySlim180,000bottles37,000gallons12,000pounds180,000bottles1labelperbottle300setups3,750MH. Economists are no different. It would be harder to find two randomly chosen economists who both agree with either of the other propositions. In contrast, disagreement due to differences in values reflect differing assessments on fairness or equity. Profits, dividends and rent According to a circular flow diagram, which of the following flows FROM government TO households? Suppose Alyssa earns $650 per week working as jewelry appraiser for Classy's Jewelry Store. Points located inside the production possibilities frontier, such as A and B, represent inefficient output combinations. 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. X Because he can now make more trucks per hour, Jacques's opportunity cost of producing balls is higher than it was previously. The effect of federal government spending on the national unemployment rate MACRO In this case, the economists disagree due to differences in scientific judgments because they disagree about a factual matter: the type of policy needed to keep the economy functioning smoothly during a period of financial distress. Firms, in turn, earn revenue when households buy goods and services. Transcribed Image Text: 1. The effect of a cigarette tax on the quantity of cigarettes sold MICRO \text{Department} & \text{Driver} & \text{Cost}\\ 62 views, 3 likes, 2 loves, 1 comments, 0 shares, Facebook Watch Videos from Eastview Baptist Church: Eastview Live For example, two economists chosen at random are most likely to agree that employers should not be restricted from outsourcing work to foreign nations. Based on this model, firms earn revenue when households purchase goods and services in product markets. 60 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. Because I don't. 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. 4/36=0.11 -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. Economic models C. Holding cost per unit per year is independent of order quantity. Because the drought decreases the amount of alfalfa South Africa can produce, you should have moved the point to 20 million bushels of alfalfa per year. Similarly, when you look at the horizontal axis, you see that if the United Kingdom produces zero industrial robots, it can initially produce a maximum of 210 million bushels of corn per year. a. POS The fact that there are only two goods produced in this theoretical economy is a simplifying. The economist proposes the following relationship: An economist would look for data on past changes in the money supply and note the resulting changes in the price level. FACTOR Therefore, spending his last 2 hours producing balls results in one additional ball. Therefore, Jacques's increased ability to produce trucks increases his opportunity cost of producing balls. Scarcity is in relation to peoples What does each point represent? "What is the purpose of this? Hence, as Jacques increases his production of trucks, his opportunity cost of producing more trucks increases. B. a; an This PPF is not an economic model. Try Another Version Continue Tim uses $250 to purchase necklace from Classy's Jewelry Store. plethora realization scarcity profusion, Suppose an economy produces two goods: food and machines. b. In some markets, however, the supply of labor is determined by a union of workers. 27 Dinah's Diner pays Sam $400 per week to work as a short-order cook. Jack owns a convertible bond with a $1,000 face value that can be exchanged for Using your answers to part a, identifypoints A, B, C, and D on your graph.c. Which of the elements of this scenario represent a flow from a firm to a household? B Which of the following is TRUE regarding the economic order quantity (EOQ) model? I = bo + b1Y All Americans should earn more than $25,000 per year. (B)r All three spend half their time on eachactivity. , gh it was immature attempt at humor. Which of the following is true regarding this economic model? Which of the elements of this scenario represent a flow from a firm to a household? In some circumstances, if taxes are lowered, government revenues actually increase. Explain why the situation faced by a labor union may resemble the situation faced by a monopoly firm. Producing a second truck per day would require him to move to combination C, reducing his production of balls to 16 per day. Resources are scarce in relation to peoples demands ECO 102 Macroeconomics Unit 1 Milestone 1 Sophia Course Under severe restrictions The circular-flow diagram illustrates that, in marketsfor the factors of production,a. 9th - 12th grade. The data below shows the various production possibilities for an economy that produces two goods, cars, and television sets. 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. What is the common difference between the allocation of joint costs to ( a ) joint products and ( b ) by-products? Rent ceilings reduce the quantity and quality of available housing. B] With the recent use of high-speed computers, economists are able to measure the size of the informal sector accurately. . Purchase of goods and services Ordering cost per order is dependent on order quantity. c. Nothing is free Economics assumes that people, businesses and governments make good decisions In order to best encourage their individual performance development, what should yo Can of drink an; a Alyssa's labor a. The effect of a large government budget deficit on the economy's price level MACRO Diego 0 20 40 60 80 100 100 80 60 40 20 0 SMARTPHONES (Millions) CORN (Millions of bushels) PPF Which of the following is true regarding this economic model? A key decision maker asks for the, Which of the following is the source of change if the university curriculum committee suggests two of the proposed courses for the curriculum of a new major be completely reworked? A. \text{Mixing department}\\ Recall that each point on the production possibilities frontier shows the maximum quantity of corn Japan can produce if it also wants to produce the given quantity of laptops. The opportunity cost, A: Two economies - A & B Government should Impose taxes on the cigarette. * 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. This clearly states the thought and simplifies the understanding of economy, based on two products to be produced from same restricted resources. 1 pizza \text{Production volume} \ldots\ldots\ldots & \text{12,500 bottles} & \text{180,000 bottles}\\ 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. What happens to this frontier if disease kills half of the economys cow population? A consumer's optimal choice when buying a flat-screen TV MICRO However, they need to be checked by the moderator before being published. Suppose Teresa earns $750 per week working as work as a flight attendant for Flyaway Airlines. All, A: Part (a) households and firms are both buyers.d. 45 How should you approach Kurt regarding his work? b. The following diagram shows its current production possibilities frontier for barley, an agricultural good, and cars, a capital good. However, positive statements can always be supported or refuted by data, while normative statements require a larger philosophical framework to evaluate. It implies that the interest, A: Macroeconomics is the discipline of economics concerned with the overall structure, performance,, A: Answer a) B) It provides you an opportunity to share the latest company news with your remote team members. 0 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. True Explain how a government shutdown will affect the variables in the national investment and savings identity. 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. \end{matrix} itive comment between constructive feedback. 42 D. a fixed purchase price per unit. a; a, 10). 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. 4. This PPF is not an economic model. Therefore, microeconomists are more likely to create models to analyze the decisions of firms (such as pricing) and those of consumers (such as shopping choices), as well as how government policies affect those decisions. You can specify conditions of storing and accessing cookies in your browser. Goods and services have a price because Production of X 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. F02000 60 C) It provides team members an opportunity to acknowledge the assistance of another team member. Show theeffects of a drought. An increase in taxes raises the price of a product Wants Identify the correct sequence of step in the generation of an action potential. Now, suppose Jacques is currently using combination C, producing two trucks per day. Which of the following statements regarding economic growth is correct? Tim spends $250 to purchase necklace from Classy's Jewelry Store. Suppose Jacques is currently using combination D, producing one truck per day. = Co + c1(Y T) Macroeconomics studies the application of economics across an economy. The disagreement between these economists is most likely due to differences in values . Economic models The following diagram presents a circular-flow model of a simple economy. Pillmart Pharmacy pays Tim $200 per week to work the cash register. https://www.sobtell.com/q/tutorial/default/206965-eco-102-macroeconomics-unit-1-milestone-1-sophia-c A consumer's optimal choice when buying a flat-screen TV MICRO. Which of the following is true regarding this economic model? You decide to start each meeting with a few minutes to say, "I'd lik O The fact that there are only twe goods produced in this theoretical economy, when, in reality, economes produce many moe types goods, means this model is generally useless. 8 \end{matrix} Shen uses $100 to purchase tax services from A-Plus Accountants. Which statement below about economics is false? The shift in Jacques's PPF is reflected in a corresponding change in his opportunity costs. Draw and explain a production possibilities frontier for an economy that produces milk and cookies. 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. 1 Raising the minimum wage increases the rate of unemployment. While simple, the circular-flow diagram can still be useful for the purposes of modeling how dollars and resources move throughout an economy. "What is the purpose of this? Would you describe yourself as an extrovert or an introvert? b. This year and experience a Technological advance and its machine making industry. 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{Machine hours}\ldots\ldots\ldots & \text{200 MH} & \text{3,750 MH}\\ A government bailout of severely distressed financial firms is unnecessary because free markets will properly price assets. D. Holding cost per unit per year is dependent on the selling price per unit. . She uses $8 to have breakfast at Dinah's Diner. In order to best encourage their individual performance development, what should yo 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. In Scenario D = 15 bananas and 70 apples are. Vaccination is a method of fighting Covid -19 Breast cancer is the fifth most common cause of cancer death. 80 The opportunity cost of buying the chocolate bar is Which of the following is true regarding this economic model? Question: With the new tool, the same allocation of time results in two trucks and 19 balls, so (2, 19) is a point on his new PPF. . b. False Multiple Choice Question Provide examples to support your points. This site is using cookies under cookie policy . Therefore, point D must be unattainable, given current resources and technology. ECON 102- Problem Solving: Thinking Like an E, Chapter 4: The Market Forces of Supply and De, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams. For example, compare point F (41 million laptops and 41 million bushels of corn) with point D (41 million laptops and 75 million bushels of corn). Again, consider combination D, and consider the effects of moving from there to combination E. Both before and after Jacques buys the tool, he can produce 19 balls if he devotes 6 hours to producing them and 20 balls if he devotes 8 hours to producing them. How should you approach Kurt regarding his work? DepartmentMixingdepartmentLiquidmaterialsDrymaterialsUtilitiesBottlingdepartmentBottlesLabelingMachinesetupDriverGallonsPoundsMachinehoursUnitsLabelsperbottleSetupsCost$2,3046,9411,422$77,0006,52520,000. answered Which of the following is true regarding this economic model? 3. . 2. We all laughed at the joke about_ honest man, even thou 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. Doctors should encourage women aged 60 to 69 to be screened for breast cancer. Multiple Choice Question At these points, it is possible to increase the production of both goods because some resources are unemployed. 1 gallon of root beer Which of the elements of this scenario represent a flow from a firm to a household?
