econ 105_tut question_chapter 1_sfu_answer0

Econ 105_tut question_chapter 1_sfu_answer0

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Unformatted text preview: ed? At point B? At point A, 2.5 tonnes of clothing and 3 tonnes of food are being produced per year. At point B, annual production is 2.5 tonnes of clothing and 7 tonnes of food. b. What do we know about the use of resources when the economy is at point A? At point B? At point A the economy is either using its resources inefficiently or it is not using all of its available resources. Point B represents full and efficient use of available resources because they are on the PPB. c. If the economy is at point B, what is the opportunity cost of producing one mo...
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This note was uploaded on 01/20/2014 for the course ECON 105 taught by Professor Hanafiahharvey during the Summer '08 term at Simon Fraser.

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