This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Refer to Figure 2-6. If the economy is currently producing at point E, what is the opportunity cost ... (Read 62 times)

sammy

  • Hero Member
  • *****
  • Posts: 818
on: Jun 29, 2018
Refer to Figure 2-6. If the economy is currently producing at point E, what is the opportunity cost of moving to point D?
 
  A) 10 thousand hammers B) 8 thousand wrenches
  C) 13 thousand hammers D) 0 wrenches

Question 2

Using Figure 10.1 above is it possible to determine the price that this product is selling for if it is being sold in a competitive market? If so what is that price?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

sabina576

  • Sr. Member
  • ****
  • Posts: 356
Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

Marginal revenue product is equal to the marginal product times the price. Alternatively that means that price is equal to MRP divided by MP. Since we have both MRP and MP we can discover the price. Taking the first data point we have an MRP of 5 and an MP of 10 . This yields of price of .50 .


sammy

  • Member
  • Posts: 818
Reply 2 on: Jun 29, 2018
Gracias!

miss_1456@hotmail.com

  • Member
  • Posts: 289
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Studies show that systolic blood pressure can be significantly lowered by taking statins. In fact, the higher the patient's baseline blood pressure, the greater the effect of statins on his or her blood pressure.

Did you know?

More than 34,000 trademarked medication names and more than 10,000 generic medication names are in use in the United States.

Did you know?

Fungal nail infections account for up to 30% of all skin infections. They affect 5% of the general population—mostly people over the age of 70.

Did you know?

A strange skin disease referred to as Morgellons has occurred in the southern United States and in California. Symptoms include slowly healing sores, joint pain, persistent fatigue, and a sensation of things crawling through the skin. Another symptom is strange-looking, threadlike extrusions coming out of the skin.

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Point Sources of Pollution Point Sources of Pollution
The left-hand rule states that if a coil is grasped with the left hand, the fingers will point in ... The left-hand rule states that if a coil is grasped with the left hand, the fingers will point in ...
Dew-Point Thresholds Dew-Point Thresholds
Links to the World Economy Links to the World Economy
Figure-8s on the toes mobilize joints of the foot. Figure-8s on the toes mobilize joints of the foot.
How to find the equation of a line that is parallel to a line passing through a point How to find the equation of a line that is parallel to a line passing through a point
Video: Brain Anatomy Animation (Part 2 of 2)

For a complete list of videos, visit our video library