Smith and Jones comprise a two-person economy. Their hourly rates of production are shown in the accompanying table. Calculators Per HourComputers Per HourSmith10010Jones1206 The opportunity cost of making a calculator for Smith is ________ and for Jones it is ________.
A. 1 computer; 0.5 computers
B. 0.10 computers; 0.05 computers
C. 10 computers; 20 computers
D. 0.6 computers; 1.2 computers
Answer: B
You might also like to view...
The market demand function for wheat is Qd = 10 - 2P and the market supply function is Qs = 4P - 2, both measured in billions of bushels per year. Suppose the government wants to increase the price of wheat to $3/bushel and they impose a price support program to achieve their goal. How much wheat must the government buy?
A. 10 billion bushels per year B. 4 billion bushels per year C. 6 billion bushels per year D. None
Interest rates are higher the
A) shorter the duration of the loan. B) greater the risk. C) larger the amount of the loan, holding other things constant. D) lower the inflation rate.
Political structure, or the process by which laws become enacted:
A. has no effect on policy created. B. is virtually the same everywhere. C. affects the outcome of policy. D. has one feature that is present in every government structure in existence.
Refer to the graph shown. The graph exhibits economies of scale:
A. in region a. B. in region b. C. over the entire range of output. D. in region c.