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WorksheetsEcon Unit 1: L10 PPF
Total questions: 15
Worksheet time: 11mins
Name
Class
Date
1.
If the production of good X increases by 3 units and production of good Y decreases by one unit, then the opportunity cost of one unit of X is ____ unit(s) of Y.
a)
3
b)
1
c)
1/3
d)
4
2.
The table shows the production possibilities for a country. Based on the table, which of the following production combinations is a possibility?
a)
28 pizzas and 5 pairs of shoes
b)
3 pairs of shoes and 23 pizzas
c)
2 pairs of shoes and 23 pizzas
d)
4 pairs of shoes and 15 pizzas
3.
Based 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.
a)
26
b)
23
c)
3
d)
2
4.
What is the production possibilities curve?
a)
a graph that shows how much an economy can produce between 2 goods
b)
how much money something is
c)
the opportunity one has to give up in order to gain something else
d)
land, labor, capital, entrepreneurs
5.
The opportunity cost of increasing production from 4 to 7 boats is
a)
1 boat
b)
2 boats
c)
2 trucks
d)
3 trucks
6.
Movement down the PPF curve indicates that the opportunity cost of more capital goods is producing more consumer goods
a)
True
b)
False
7.
Efficiency is producing the maximum possible output from available resources
a)
True
b)
False
8.
If many workers decide to retire at an early age, the PPF would shift inward.
a)
True
b)
False
9.
What do points inside the PPF indicate?
a)
The combination of goods that employ goods efficiently
b)
The combination of goods that employ resources fully
c)
The combination of goods that do not employ resources fully
10.
Which of the following might cause an inward shift of the PPF?
a)
A computer network shuts down due to a virus
b)
More people earn bachelor degrees
c)
A new maching that produces bread faster is invented
d)
OPEC announces a new source of oil
11.
An increase in the labor force would cause the PPF to
a)
Shift inward
b)
Shift outward
c)
Do nothing
d)
Turn into a straight line
12.
What does point Y represent on the PPC?
a)
Efficiency
b)
Not attainable yet
c)
Inefficency
d)
Nothing
13.
What does point B represent?
a)
Production at greater than the country's minimum potential
b)
Production is less than the country's minimum potential
c)
Productive inefficiency
d)
Productive efficiency
14.
Which point represents "resources are not being used efficiently, or resources are being wasted or idle"?
a)
Point A
b)
Point Y
c)
Point X
d)
All of the above
15.
What is the use of the PPC in real life?
4 lines
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