A country needs to decide if it will defend itself ("guns") or feed its population ("butter"). Look at the graph. Construct a plan to help the country attain Point X. Add more gunmakers to the labor force and decrease the number of butter makers Decrease the quality of guns and increase the demand for butter Increase the quality of the butter and create more demand for guns Streamline production of butter and begin assembly-line manufacturing of guns
economically speaking ... bacon and eggs maybe?
both would be appreciated
how do we move a PPF curve? since X is not on the curve
soryy someone called me 6.^;
im back though :)
From my understanding the x is what it it asking for correct?
oh wait nvm
the point X is what we are aiming for, the PPF curve is where the economy is now ... how do we move the curve itself instead of moving ON the curve?
wouldnt we have to increas both?
if we increase one we wouldn't really get anywhere
we would have to increase demands is what i recall from my macro days yes
so then based on this i would go with c?
because then we increase the qualaty while creating more demands for guns :D
as an educated guess (it been a long time for these) i would lean towards C yes. but I am not guarenteeing its correctness.
one questioon, what is "steam line" roduction?
streamline. it is a way to decrease costs while increaseing production. i believe it involves quantity instead of demand
the curve itself is a resource curve; and if we provide resources for a given quantity of butter, it limits the quantity of guns ... etc. quantity moves along the curve. demand is what moves the curve.
so then increasing the demand by improving the quality would be the best way to move the curve :DDDDDD
thanks so much xDDD
good luck with it ;)
have good luck with heling others :D
i hope you dont get any pre-calc :P
just thinking about it makes my brain hurt u,u
one more thing
what are ppf and ppc?
i get the gist of ppc, but ppf looses me at the word frontier xD
http://www.investopedia.com/university/economics/economics2.asp production possibilities (PP) curve/frontier are just naming conventions. The curve is the boundary (the front lines, the frontier) between what is possible and what is not based on the allocation of resources.
and after reviewing that site, it seems that we can move the curve by using technology and advancements to better allocate our resources as well.
thanks again ^.^
just to be clear, im leaning towards streamlining now. the supply and demand curves are from a different graph that i confused for the PPF |dw:1444485545475:dw| the PPF curve is all about use of resources and their efficient uses. streamlining is a way to try to use what we have in a more productive way.