Economic models B) Ensure that team members understand the larger goals of the company 4). Scarcity means that resources are: A government bailout of severely distressed financial firms is unnecessary because free markets will properly price assets. Note that describing a statement as positive or normative is not the same as describing it as true or false. 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. Identify characteristics of foreign exchange and currency. ECO 102 Macroeconomics Unit 1 Milestone 1 Sophia Course - Issuu In this scenario, households sell factors of production in, to the Medical Clinic and when Brian supplies his labor to Dinah's Diner. As a result of this year the society wants to produce 55 units of food and 30 machines which of the following statements is true? Which of the following is true regarding this economic model? 20 Studying more hours leads to an increase in your GPA. The disagreement between these economists is most likely due to differences in values . 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. 100 B 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. From the previous analysis, you can determine that as Jacques increases his production of trucks, his opportunity cost of producing one more truck increases . an; a 4. 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. 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. Goods and services have a price because Identify the articles that correctly complete the following sentence. 62 views, 3 likes, 2 loves, 1 comments, 0 shares, Facebook Watch Videos from Eastview Baptist Church: Eastview Live b.) Using your answers to part a, identifypoints A, B, C, and D on your graph.c. https://www.sobtell.com/q/tutorial/default/206965-eco-102-macroeconomics-unit-1-milestone-1-sophia-c She uses $10 to have. 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. Suppose Jacques buys a new tool that enables him to produce twice as many trucks per hour as before, but it doesn't affect his ability to produce balls. economies produce many more types of goods, means this model is generally useless. She uses $10 to buy a box of aspirin at Pillmart Pharmacy. Multiple Choice Question Jacques: Indeed, it's gotten crazy! Identify the partsof the model that correspond to the flow of goodsand services and the flow of dollars for each of thefollowing activities.a. (B)r All three spend half their time on eachactivity. 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. In other words, for each point on his PPF, the vertical coordinate is the same as before, but the horizontal coordinate is twice its initial value. Could the shutdown affect the government budget deficit? Capital Account 1. The effect of federal government spending on the national unemployment rate MACRO Consider the following production possibilities frontier model for an economy that produces only two goods: barley and tablets. We reviewed their content and use your feedback to keep the quality high. 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 . This chapter has assumed that labor is supplied by individual workers acting competitively. NORM Under severe restrictions In this scenario, households sell factors of production in factor markets when Alyssa supplies her labor to Classy's Jewelry Store and when Tim supplies his labor to Pillmart Pharmacy. A positive statement is one that seeks to describe the world as it is. Transcribed Image Text: 1. The fact that they are only two goods produced in this theoretical economy, when, in reality, economies produce many more type goods, means this model is generally useless. Which of the following is true regarding this economic model? 4.9 (13 reviews) The following diagram presents a circular-flow model of a simple economy. She uses $10 to have breakfast at Dinah's Diner. The opportunity cost, A: Two economies - A & B What is the minimum price that the company should set per bottle of EasySlim? In order to construct such a model, an economist would need real life data regarding countries that only produce two goods. The following diagram presents a circular-flow model of a simple economy. C It would be harder to find two randomly chosen economists who both agree with either of the other propositions. NORM 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. "What is the purpose of this? Economics models can accurately pinpoint changes in exchange rates. \text{Bottles} \ldots\ldots\ldots & \text{Units} & \text{\$77,000}\\ Solved Which of the following is true regarding this | Chegg.com \text{Mixing department}\\ a. & \text{Hi-Voltage} & \text{EasySlim}\\ This could be a flow of dollars, inputs, or outputs. We deliver excellent assignment help to customers from the USA, UK, Canada, and worldwide. 0/40=0 Tariffs and import quotas generally reduce economic welfare. \text{Labels}\ldots\ldots\ldots & \text{3 labels per bottle} & \text{1 label per bottle}\\ Y Households earn their income when firms purchase or rent these factors of production to use them to produce goods and services. . The minimum wage should be raised to $15 per hour. Determine influences of aggregate supply and aggregate demand. b. Every two period, A: Economic analysis based on different approaches to see a specific situation to find all the possible, A: Opportunity cost of PPF 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. B) Ensure that team members understand the larger goals of the company B] With the recent use of high-speed computers, economists are able to measure the size of the informal sector accurately. You can specify conditions of storing and accessing cookies in your browser. In this case, the economists disagree due to differences in scientific judgments because they disagree about a factual matter: the responsiveness of saving rates to changes in tax regimes. ProductionvolumeLiquidmaterialsDrymaterialsBottlesLabelsMachinesetupsMachinehoursHi-Voltage12,500bottles1,400gallons620pounds12,500bottles3labelsperbottle500setups200MHEasySlim180,000bottles37,000gallons12,000pounds180,000bottles1labelperbottle300setups3,750MH. The assumptions behind the economic order quantity (EOQ) model include all of the following EXCEPT: A. a constant rate of demand. b. Select the statement below that is true for BOTH supply AND demand. While many economic questions are open to debate, the field is largely in agreement on some points. Full Document. Tim spends $250 to purchase necklace from Classy's Jewelry Store. It takes, A: The PPF's shape and its position will depend on how costly it is to keep the environment clean, that, A: The nations around the world tend to operate on the basis of the basic economic model. Our experts will gladly share their knowledge and help you with programming projects. d. Less able to be fulfills The goal of a monopoly firm is to maximize profits. Explain why the production possibilities frontierhas the shape it does.d. The circular-flow diagram illustrates that, in marketsfor the factors of production,a. Resources are scarce in relation to peoples demands OIn order to construct such a model, an economist wouid need real e data regarding countes that produce only tw goods The fact that there are only two goods produced in this theoretical economy is a simpifying aumption tht st aows ecinomsts demonstrate kery economic concepts. Yakov uses $375 to purchase air travel to Hawaii from Flyaway Airlines. Which statement below about economics is false? * This PPF is not an economic model. a; a, 10). C. a fixed lead time. Suppose South Africa produces two types of goods: agricultural and capital. 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. 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. B. Economists are no different. B Based on this model, households earn income when firms purchase factors in factor markets. Which of the elements of this scenario represent a flow from a household to a firm? 40 A normative statement is one that offers an opinion as to the way the world should be. Vaccination is a method of fighting Covid -19 \text{Machine setups} \ldots\ldots\ldots & \text{500 setups} & \text{300 setups}\\ DepartmentMixingdepartmentLiquidmaterialsDrymaterialsUtilitiesBottlingdepartmentBottlesLabelingMachinesetupDriverGallonsPoundsMachinehoursUnitsLabelsperbottleSetupsCost$2,3046,9411,422$77,0006,52520,000. What is the cost per bottle of Hi-Voltage? However, they need to be checked by the moderator before being published. Tariffs and import quotas generally reduce economic welfare. In order to best encourage their individual performance development, what should yo Suppose Jacques is currently using combination D, producing one truck per day. Since this change involves producing 3 fewer balls per day (1916=31916=3), the opportunity cost of producing the second truck per day is 3 balls per day. Suppose Ana earns $750 per week working as work as a flight attendant for Flyaway Airlines. NORM Show graphically and explain how an increase in the technology used to produce computers affects this economy's production possibilities frontier. 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. Consider the following production possibilities frontier model for an Sam uses $150 to purchase air travel to Hawaii from Flyaway Airlines. E generalizable components of the topic of study. (C)r Larry spends half his time on each activity, whileMoe only washes cars and Curly only mowslawns. A) Sandwich a pos this economy always operates on its productions possibilities frontier. C) Sandwich constructive feedback between positive comments. It is immoral for a government to redistribute money from one person to another. A. Which of the following is a normative statement? The convers Alyssa's labor