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Social Studies
11th -
12thgrade
The Production Possibilities Curve
17 questions
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- 1. Multiple ChoiceWhat is the fundamental problem of every society?labor costsscarcityeconomic interdependencemarket fluctuation
- 2. Multiple ChoiceWhat is the definition of the economic term Opportunity Cost?the value of the next best alternative that is given up due to the choice you madeThe price you pay to purchase somethingThe benefit you gain by making a decisionThe amount of debt you take on by making a decision
- 3. Multiple ChoiceHow do you satisfy your unlimited wants in a world of limited resources?by making more moneyby making choicesby stealingby setting a budget
- 4. Multiple Choice
If a point lies on the curve this means the company/country/individual is being efficient. If a point lies inside the curve, what does that tell?
They are being over efficient
There is an idle, or unproductive, or use of resources
It is not impossible with the given resources
They are still efficient, just at another point
- 5. Multiple Choice
What does point B represent?
Production at greater than the country's minimum potential
Production is less than the country's minimum potential
Production is greater than the country's maximum potential
Production at the country's maximum potential
- 6. Multiple ChoiceWhat does point Y represent on the PPC?EfficiencyUnattainable / impossibleInefficencyNothing
- 7. Multiple ChoiceWhat is the production possibilities curve?a graph that shows how efficient an economy can produce a combination of 2 goodsa graph that shows how much money something isa graph that shows the opportunity a country has to give up in order to lose something elsea visual representation of how land, labor, capital, entrepreneurs are distributed
- 8. Multiple ChoiceThe production possibilities curve is an illustration of what?Opportunity costs and trade-offsOnly opportunity costsOnly trade-offsnone of the above
- 9. Multiple ChoiceIf a point lies on the curve this means the company is being efficient. If a point lies inside the curve, this tells the company what?They are being over efficientThey are not efficientIt is impossibleNone of the above
- 10. Multiple ChoiceThe opportunity cost of increasing production from 7 to 9 trucks isScarcity2 boats2 trucks3 boats
- 11. Multiple ChoiceThe opportunity cost of increasing production from 4 to 7 boats is1 boat2 boats2 trucks3 trucks
- 12. Multiple ChoiceTrue or False: Everything that is scarce requires a choice, and these choices always involve a tradeoff.TrueFalse
- 13. Multiple ChoiceBased on the table, if the country is currently producing at point B and decides to produce at point C, the opportunity cost for the additional pair of shoes is ____ pizzas.262332
- 14. Multiple ChoiceChanges in technology do not usually affect productionTrueFalse
- 15. Multiple ChoiceIf many workers decide to retire at an early age, the PPF would shift inward.TrueFalse
- 16. Multiple ChoiceEconomic growth affects the PPF by...Shifting inwardShifting outwardcausing no change at allturning it into a straight line
- 17. Multiple ChoiceSuppose that a new machine that speeds up automotive production is introduced into the auto industry. This would cause the PPF toShift outwardShift inwardDo nothingNot enough information is provided
- Answer choicesTagsAnswer choicesTags