Assume that the opportunity cost for Germany to produce a jet is 50 cars. If Germany is producing on its production Possibility Frontier, some possible combinations of output for Germany could be:

A. (1,000 jets, 5,000 cars) and (900 jets, 10,000 cars).
B. (2,500 jets, 2,000 cars) and (2,300 jets, 20,000 cars).
C. (1,000 jets, 5,000 cars) and (900 jets, 15,000 cars).
D. (2,500 jets, 2,000 cars) and (2,300 jets, 3,000 cars).


Answer: A

Economics

You might also like to view...

Summarize the debate over the interrelationship between inequality and growth. What kinds of inequality are most crucial to the discussion?

What will be an ideal response?

Economics

At a carnival roulette wheel, a player can either win $10, $30, or $80 . If it costs $35 to play, we would expect to see

a. A long line of players waiting to play b. No players for the game c. The carnival losing money per play d. Both A&C

Economics

Changes in the quality of a good

a. do not present a problem in the construction of the consumer price index. b. present a problem in the construction of the consumer price index, and that problem is sometimes referred to as substitution bias. c. are not accounted for, as a matter of policy, by the Bureau of Labor Statistics. d. can lead to either an increase or a decrease in the value of a dollar.

Economics

Refer to the above figure. Ajax and Greenco are oligopolists. Above you are given the payoff matrix for the two firms giving the payoff associated with different pricing strategies. What is the best strategy for Greenco if Ajax decides on charging a high price?

A. high price B. low price C. There is no best strategy. D. Not enough information is given to determine the best strategy.

Economics