Homework Help is Here – Start Your Trial Now!
Business
Economics
Felix is a skilled toy maker who is able to produce both boats and balls. He has 8 hours a day to produce toys. The following table shows the daily output resulting from various possible combinations of his time.   On the following graph, use the blue points (circle symbol) to plot Felix's initial production possibilities frontier (PPF). Suppose Felix is currently using combination D, producing one boat per day. His opportunity cost of producing a second boat per day is   (1,2,16 0R 18) per day.   Now, suppose Felix is currently using combination C, producing two boats per day. His opportunity cost of producing a third boat per day is (1,6,10 OR 16)   per day.   From the previous analysis, you can determine that as Felix increases his production of boats, his opportunity cost of producing one more boat (DECREASE, INCREASED OR REMAINS CONSISENT)   .   Suppose Felix buys a new tool that enables him to produce twice as many boats per hour as before, but it doesn't affect his ability to produce balls. Use the green points (triangle symbol) to plot his new PPF on the previous graph. Because he can now make more boats per hour, Felix's opportunity cost of producing balls is  (HIGHER THAN, LOWER THAN, THE SAME AS) it was previously.

Felix is a skilled toy maker who is able to produce both boats and balls. He has 8 hours a day to produce toys. The following table shows the daily output resulting from various possible combinations of his time.   On the following graph, use the blue points (circle symbol) to plot Felix's initial production possibilities frontier (PPF). Suppose Felix is currently using combination D, producing one boat per day. His opportunity cost of producing a second boat per day is   (1,2,16 0R 18) per day.   Now, suppose Felix is currently using combination C, producing two boats per day. His opportunity cost of producing a third boat per day is (1,6,10 OR 16)   per day.   From the previous analysis, you can determine that as Felix increases his production of boats, his opportunity cost of producing one more boat (DECREASE, INCREASED OR REMAINS CONSISENT)   .   Suppose Felix buys a new tool that enables him to produce twice as many boats per hour as before, but it doesn't affect his ability to produce balls. Use the green points (triangle symbol) to plot his new PPF on the previous graph. Because he can now make more boats per hour, Felix's opportunity cost of producing balls is  (HIGHER THAN, LOWER THAN, THE SAME AS) it was previously.

Principles of Economics 2e
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
ChapterA: The Use Of Mathematics In Principles Of Economics
Section: Chapter Questions
Problem 3RQ: Exercise A3 What dome slices of a pie chart represent?
See similar textbooks
icon
Related questions
Question

Felix is a skilled toy maker who is able to produce both boats and balls. He has 8 hours a day to produce toys. The following table shows the daily output resulting from various possible combinations of his time.

 

On the following graph, use the blue points (circle symbol) to plot Felix's initial production possibilities frontier (PPF).

Suppose Felix is currently using combination D, producing one boat per day. His opportunity cost of producing a second boat per day is   (1,2,16 0R 18) per day.
 
Now, suppose Felix is currently using combination C, producing two boats per day. His opportunity cost of producing a third boat per day is (1,6,10 OR 16)   per day.
 
From the previous analysis, you can determine that as Felix increases his production of boats, his opportunity cost of producing one more boat (DECREASE, INCREASED OR REMAINS CONSISENT)   .
 
Suppose Felix buys a new tool that enables him to produce twice as many boats per hour as before, but it doesn't affect his ability to produce balls. Use the green points (triangle symbol) to plot his new PPF on the previous graph.
Because he can now make more boats per hour, Felix's opportunity cost of producing balls is  (HIGHER THAN, LOWER THAN, THE SAME AS) it was previously.
Hours Producing Produced Choice (Boats) (Balls) (Boats) (Balls) A 3 10 2 16 2 4 D 2 6 18 19 Intal PPF 20 New PPF 10 BOATS
Transcribed Image Text:Hours Producing Produced Choice (Boats) (Balls) (Boats) (Balls) A 3 10 2 16 2 4 D 2 6 18 19 Intal PPF 20 New PPF 10 BOATS
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps with 2 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer