Chapter 2 - Chapter 2 Thinking Like an Economist The...

Info iconThis preview shows pages 1–11. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter Thinking Like an Economist 2
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
The Economist as a Scientist 22
Background image of page 2
The Economist as a Scientist 33
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
The Economist as a Scientist 44
Background image of page 4
The Economist as a Scientist 55
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Figure The production possibilities 66 Q u a nt it y of C o m p ut er s P ro Quantity of Cars 0 3 0 0 6 0 0 7 0 0 1,00 0 3,00 0 A B C D E F 1,00 0 2,20 0 2,00 0 Producti on Possibilit ies Frontier The production possibilities frontier shows the combinations of output - in this case, cars and computers - that the economy can possibly produce. The economy can produce any combination on or inside the frontier. Points outside the frontier are not feasible given the economy’s resources.
Background image of page 6
The Economist as a Scientist 77
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
The Economist as a Scientist 88
Background image of page 8
The Economist as a Scientist Technological advance Outward shift of the production possibilities frontier Economic growth Produce more of both goods 99
Background image of page 9

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Figure A shift in the production 10 Q u a nt it y of C o m p ut er s P ro d Quantity of Cars Produced 0 6 0 0 6 5 0 1,00 0 3,00 0 A 2,20 0 2,30 0 A technological
Background image of page 10
Image of page 11
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 03/29/2011 for the course ECON 211 taught by Professor Bass during the Winter '11 term at Grand Valley State University.

Page1 / 19

Chapter 2 - Chapter 2 Thinking Like an Economist The...

This preview shows document pages 1 - 11. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online