Which of the following is true? If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 1,000th unit of good X is 0.5Y, then the opportunity cost of producing the 2,001st unit of good is X is most likely to be b. more than 1/5Y but less than 5Y. As the law says, as you increase the production of one good, the opportunity cost to produce the additional good increases. The law of increasing opportunity costs states that A. if the sum of the costs of producing a particular good rises by a specified percent, the price of that good must rise by a greater relative amount. The economy was at point A producing 100X and 200Y. The law of increasing opportunity cost is a concept that is often employed in business and economic circles. If the law of increasing opportunity costs is operable,and currently the opportunity cost of producing the 1,000th unit of good X is 0.5Y,then the opportunity cost of producing the 2,001st unit of good is X is most likely to be A) less than 0.5Y. 36. Which graph best depicts the consequence of a large-scale natural disaster? 115. Specifically, if it raises production of one product, the opportunity cost of making the next unit rises. If the law of increasing opportunity costs is operable,and currently the opportunity cost of producing the 1,000th unit of good X is 0.5Y,then the opportunity cost of producing the 2,001st unit of good is X is most likely to be A) less than 0.5Y. d) less than 1/5Y but more than zero. Law of Increasing Opportunity Costs Defined. Course Hero is not sponsored or endorsed by any college or university. The more one is willing to pay for resources, the smaller will be the possible level of production. c.more than 5Y d.less than 1/5Y but more than … It moved to point B where it produces 200X and 300Y. Essentially, this law states that, as additional units of a good are manufactured, the opportunity cost associated with that production will also increase. The law of increasing opportunity cost states that when a company continues raising production its opportunity cost increases. Question 14 5 / 5 pts With respect to a PPF for goods X and Y, productive efficiency implies that in order to produce more of good X there will be a reduction in production of good Y. If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of good is X is most likely to be a. less than 5Y. Course Hero is not sponsored or endorsed by any college or university. B. if society wants to produce more of a particular good, it must sacrifice larger and larger amounts of other goods to do so. For a better understanding of this idea, it is necessary to know the meaning of the opportunity cost and review an example of the way how the law works in practice. This preview shows page 2 - 3 out of 3 pages. According to the law of increasing opportunity costs: A. Yıldırım Beyazıt University - Cinnah Campus, Trinity Valley Community College • PHYS 1401, Trinity Valley Community College • ECON 2302, Monroe College, New Rochelle • ECON 670-144, Yıldırım Beyazıt University - Cinnah Campus • ECON 204, Northwestern State University • ECONOMICS 2000, Chapter 02 Production Possibilities Frontier Framework.pdf. Question: QUESTION 16 Aw Of Increasing Opportunity Costs Is Operable, And Currently The Then The Opportunity Cost Of Producing The 2,001st Unit Of Good Is X Is Most Likely To Be O A Less Than 0.5Y O B. The factors of production are the elements we use to produce goods and services. If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of good is … • Question 11 0 out of 2 points Exhibit 2-6 Refer to Exhibit 2-6. In economics, the law of increasing costs is a principle that states that once all factors of production (land, labor, capital) are at maximum output and efficiency, producing more will cost more than average. Produces 100A and 200B and country 2 produces 300A and 700B. The production possibilities frontier (PPF), a straight (downward-sloping) line because the opportunity cost of producing the two goods is, 35. Keisha can produce the following combinations of X and Y: 100X and 20Y, 50X and 30Y, or 0X and, 40Y. If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of good is X is a) less than 5Y. If a production possibilities frontier (PPF) is concave downward, it follows that 101. Try our expert-verified textbook solutions with step-by-step explanations. If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of … Question 11 0 out of 2 points Exhibit 2-6 Refer to Exhibit 2-6. Answer Selected Answer: (1) Correct Answer: (2) • Question 12 0 out of 2 points The law of increasing opportunity cost University of Texas, Rio Grande Valley • ECON 2301, Trinity Valley Community College • ECON 2301, Trinity Valley Community College • PHYS 1401, Northern University of Malaysia • BEEB 1013, Trinity Valley Community College • ECON 2302, Dated 1-26-20 Chapter 2 study questions PPF curves.doc, University of Texas, Rio Grande Valley • BUSINESS BLAW. If the law of increasing opportunity costs is operable, and currently the opportunity cost of, unit of good X is 5Y, then the opportunity cost of producing, 33. The law of increasing opportunity cost is fundamental to the law of supply. If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of good is X is most likely to be a.less than 5Y. Country 1 produces two goods, A and B. 39. If you can either go to work or go to the beach, and you choose to work, the opportunity cost of working is the value you would have gotten had you gone to the beach. O E None Of The Above If The L Currently country 1. ANS: b 10 If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of good is X is likely to be a. less than 5Y. The economy was at point A producing 100X and 200Y. The PPF between goods X and Y will be a downward-sloping, straight line if constant opportunity costs exist, 38. b) greater than 1/5Y but less than 5Y. In this case the law also applies to societies – the opportunity cost of producing a single unit of a good generally increases as … If the law of increasing opportunity costs is operable and currently the, 11 out of 11 people found this document helpful, 32. ANS b 10 If the law of increasing opportunity costs is operable and currently, 1 out of 2 people found this document helpful, If the law of increasing opportunity costs is operable, and currently the opportunity cost of, producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of, If a production possibilities frontier (PPF) is concave downward, it follows that. If the law of increasing opportunity costs is operable, and currently the opportunity cost of producing the 101st unit of good X is 5Y, then the opportunity cost of producing the 201st unit of … Thus, increasing opportunity cost results in increased price and increased supply. In other words, this principle describes how opportunity costs increase as resources are applied. An economy can produce the following combinations of goods: 50X and 0Y, 40X and 10Y, 30X and, 20Y, 20X and 30Y, 10X and 40Y, and 0X and 50Y. The law of increasing opportunity costs says that, as we produce more of a particular good, the opportunity cost of producing that good increases. In reality, however, opportunity cost doesn't remain constant. c. more than 5Y The law of increasing costs is an economic concept that demonstrates the relationships between the factors and costs of production. This preview shows page 6 - 10 out of 14 pages. c) greater than 5Y. Similarly, with scarce resources, when you decide to increase the production of certain goods over a specific limit, you need to compensate for it by producing lesser of the other goods. It moved to point B where it produces, 34. If Maria and Maya each specialize in the good in which she has a comparative, Advantage the then engage in trade, __ can consume a combination of goods that lies beyond her PPF. 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