# C suppose the fruit farm is currently producing at

• Notes
• 27

This preview shows page 9 - 11 out of 27 pages.

##### We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
The document you are viewing contains questions related to this textbook.
Chapter 21 / Exercise 03
Microeconomics: A Contemporary Introduction
McEachern
Expert Verified
c. Suppose The Fruit Farm is currently producing at point D. What happens to the opportunity cost ofproducing more and more pears? Does it increase, decrease, or remain constant? Explain your answer.d. Suppose The Fruit Farm is currently producing at point G. What happens to the opportunity cost ofproducing more and more apples? Does it increase, decrease, or remain constant? Explain your answer.e. Suppose The Fruit Farm is plagued by the apple maggot infestation which destroys apple trees but not peartrees. Show in a graph what happens to its PPF.MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.42)If the Apple Watch and the Samsung Gear S2 are considered substitutes, then, other things equal,an increase in the price of the Apple Watch will42)A)increase the quantity demanded for the Gear S2.B)increase the demand for the Gear S2.C)increase the quantity demanded for the Apple Watch.D)decrease the demand for the Apple Watch.
43)What is the difference between an "increase in demand" and an "increase in quantity demanded"?43)
9
##### We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
The document you are viewing contains questions related to this textbook.
Chapter 21 / Exercise 03
Microeconomics: A Contemporary Introduction
McEachern
Expert Verified
44)The law of demand implies, holding everything else constant, that as the price of bagels increases44)
45)If a demand curve shifts to the right, then45)
46)If, in response to an increase in the price of chocolate the quantity of chocolate demandeddecreases, economists would describe this as46)A)a change in consumer income.B)a decrease in consumers' taste for chocolate.C)a decrease in demand.D)a decrease in quantity demanded.