Premium Essay

Chapter - 01 Limits, Alternatives, and Choices

In: Business and Management

Submitted By Ju5tJ03611
Words 500
Pages 2
Chapter - 01 Limits, Alternatives, and Choices: Chapter 1: #11, 12
Question 11
Explain how (if at all) each of the following events affects the location of a country’s production possibilities curve:
a. The quality of education increases – Production possibilities will increase
b. The number of unemployed workers increases – Production possibilities will decrease
c. A new technique improves the efficiency of extracting copper from ore – Production possibilities will increase
d. A devastating earthquake destroys numerous production facilities – Production possibilities will decrease

Question 12
Suppose that, on the basis of a nation’s production possibilities curve, an economy must sacrifice 10,000 pizzas domestically to get the 1 additional industrial robot it desires but that it can get the robot from another country in exchange for 9000 pizzas. Relate this information to the following statement: “Through international specialization and trade, a nation can reduce its opportunity cost of obtaining goods and thus ‘move outside its production possibilities curve.’”

Production possibilities curves dictate that individual nations are limited to output combinations that fall within the parameters of its possibilities curve. Specialization in an area has the same effect as higher education or technological advance, it increases outputs and there is economic growth. The international country specializes in a certain process and uses domestic resources to produce the item. Trading with this country means we will not purchase the goods locally but rather exchange this opportunity for acquisition of goods produced internationally.

Chapter 1 Appendix Graphs and Their Meaning Questions

Question 1
(a) Briefly explain the use of graphs as a way to represent economic relationships. Graphs illustrate the relationship between two sets of data
(b) What is an…...

Similar Documents

Free Essay


...Behavioural Processes journal homepage: Short report Discounting the freedom to choose: Implications for the paradox of choice Derek D. Reed ∗ , Brent A. Kaplan, Adam T. Brewer University of Kansas, United States a r t i c l e i n f o a b s t r a c t Organisms prefer to make their own choices. However, emerging research from behavioral decision making sciences has demonstrated that there are boundaries to the preference for choice. Specifically, many decision makers find an extensive array of choice options to be aversive, often leading to negative emotional states and poor behavioral outcomes. This study examined the degree to which human participants discounted hypothetical rewards that were (a) delayed, (b) probabilistic, and (c) chosen from a large array of options. The present results suggest that the “paradox of choice” effect may be explained within a discounting model for individual patterns of decision making. © 2012 Elsevier B.V. All rights reserved. Article history: Received 5 December 2011 Received in revised form 14 February 2012 Accepted 27 March 2012 Keywords: Choice Choice overload Discounting Paradox of choice Search costs As described by Catania, “Whatever else is involved in the concept of freedom, it at least involves the availability of alternatives” (p. 89; 1975). Thus, within a behavioral framework, freedom may be loosely conceptualized as the ability to choose. In Catania’s seminal article – as......

Words: 3187 - Pages: 13

Premium Essay

Costing Alternative Choices Summary

...Costing Alternative Choices Summary When making a decision between one course of action or the other, it is beneficial to determine which will option will either minimize costs or maximize gains. In the business world, managers make these decisions based on evaluating the effect of the differential costs – the difference between the two options. From data generated from a firm’s cost-accounting system, managers can apply the rules of cost behavior to determine which cost factors are relevant to taking the best course of action. In one case, the difference between costs might be evaluated. In another case, both costs and revenues may be evaluated. The cost-volume-profit model is useful in providing a foundation from which a decision can be made. It helps to map the break-even point by showing the intersection of the slope of the total revenue with that of total costs. It also shows where production levels lead to profits or losses. The total cost-volume is a function of fixed costs, variable costs and semivariable costs. In general, the cost-volume behavior of each is fairly consistent in that variable costs tend to be directly related to volume, fixed costs remain constant regardless of volume and semivariable costs have both fixed and variable components. While the cost behavior models are fairly accurate, managers must be careful not to ignore several key considerations and ask themselves: • Are the volume considerations within the relevant range of the......

Words: 437 - Pages: 2

Free Essay


...Find the limit 2) Lim┬(x→2)⁡〖(x^3-8)/(x^2-4)〗 First you use synthetic division to find the two factors of the equation. You will divide by the number 2 because that’s the number x approaches. You have to get the coefficients of each term including x^2 and x even though they aren’t part of the equation. Once you write it out it should look like 2 1 0 0 -8. You bring down the first term and multiply it by 2, the result you will then add to 0. After that you multiply the result of 0+2 to the 2 you rare dividing by. The result you add it to the other 0. The result of 0+4 you once again multiply by the 2 you are dividing by and you end up with 8. The last terms cancel because you add a negative and positive 8. By the end you are left with 1 2 4 0. That is one of the factors but you have to start the factor with one degree less than the original equation. It will be (x^2+2x+4). The other factor will be like your limit except the number will be the opposite (x-2). Once you factor out the denominator from the original equation, you get (x+2) and (x-2) because x^2-4 is a difference of squares. Both (x-2) from the numerator and denominator cancel each other out. After you just plug in the 2 for your x’s and at the end you simplify and get an answer of 3....

Words: 270 - Pages: 2

Free Essay

Alternative Schools Are a Better Choice for Students

...Alternative Schools are a Better Choice for Students Christy Price AIU Online Alternative Schools are a Better Choice for Students What are alternative schools? Alternative schools according to the World Book Encyclopedia (2003) are, “… any public or private school that differs from traditional schools in curriculum, purpose, or teaching methods.” The definition comes from the 1960’s when free schools were created and contained smaller groups of students and teachers. During this time the general consensus was, kids would learn at their own pace and teachers were not meant to be viewed as authority figures but should be mentors to the students under their care. In comparison to public schools, which were seen as oppressive, free schools were a suitable alternative for many students (Miller 2002) For some students alternative high schools are the better choice for their education. Students who attend alternative schools do not lack the ability to learn they just have different learning needs than other students. According to the Waterville Alternative School (2003), located in Waterville Maine, public schools are created on a “one size fits all” basis. That is, there is one set curriculum, schedule, and teaching style. Each student is expected to learn at the same pace; however, this is not the reality. Thus, alternative schools have been created as a way to meet each student’s individual needs. Alternative schools are appealing to some students for a number of......

Words: 913 - Pages: 4

Premium Essay

Hilton Ppt Chapter 1 Answer Key

...Chapter 01 The Changing Role of Managerial Accounting in a Dynamic Business Environment Chapter 01 The Changing Role of Managerial Accounting in a Dynamic Business Environment Answer Key   True / False Questions   1. Controlling involves the coordination of daily business functions within an organization.  FALSE   AACSB: Reflective Thinking AICPA BB: Industry AICPA FN: Decision Making Bloom's: RC Difficulty: Easy Learning Objective: 01-02 Explain four fundamental management processes that help organizations attain their goals.   2. Measuring the performance of managers and subunits is not an objective of managerial accounting.  FALSE   AACSB: Analytic AICPA BB: Critical Thinking AICPA FN: Research Bloom's: RC Difficulty: Easy Learning Objective: 01-03 List and describe five objectives of managerial accounting activity.   3. Middle-level managers would likely be considered internal users of accounting information rather than external users.  TRUE   AACSB: Reflective Thinking AICPA BB: Resource Management AICPA FN: Reporting Bloom's: RC Difficulty: Easy Learning Objective: 01-04 Explain the major differences between managerial and financial accounting.   4. A controller is normally involved with preparing financial statements.  TRUE   AACSB: Analytic AICPA BB: Resource Management AICPA FN: Reporting Bloom's: RC Difficulty: Medium Learning Objective: 01-06 Describe the roles of an organization's chief......

Words: 6709 - Pages: 27

Premium Essay

0lom 5300 Multiple Choice Chapter 1

...1230-1330; T 1400-1500, 1745-1845; or by appointment Text: Statistics for Business and Economics, revised 11th edition, by David R. Anderson, Dennis J. Sweeney, and Thomas A. Williams, South-Western Calculator: hand-held with keys for natural logarithm, mean, and standard deviation Course Description: The role of statistical evidence in the formation of inference and in the selection of strategies in solving business problems is developed. Probability and probability distributions are studied as a basis of statistical inference. An introduction to multivariate analysis is provided, which includes analysis of variance and regression methods. Specifically, the course covers in order most of the material in the following chapters of the text: Chapter Topic 1 Data and Statistics 2 Descriptive Statistics: Tabular and Graphical Presentations 3 Descriptive Statistics: Numerical Measures 4 Introduction to Probability 5 Discrete Probability Distributions 6 Continuous Probability Distributions 7 Sampling and Sampling Distributions 8 Interval Estimation 9 Hypothesis Tests 10 Statistical Inference About Means and Proportions With Two Populations 11 Inferences About Population Variances 12 Tests of Goodness of Fit and Independence 14 Simple Linear Regression 15 Multiple Regression 17 Index Numbers Prerequisites: INFSYS 5800 (may be taken concurrently) and ECON 4105 with a minimum grade of a C. Course Objectives: Students......

Words: 1439 - Pages: 6

Premium Essay

Chemistry Chapter 01

...Introductory Chemistry Introduction Instructor: Dr. Tao Tao Course Section: CHEM1405.6013-6014 Meeting Time: TTh 6:00pm-9:10pm Bldg 13-629 Office Hours: TTh 5:30 pm-6:00 pm Contact: Introductory Chemistry 2 Course Material Requirements • Textbook – Introductory Chemistry, by Nivaldo J. Tro 5th edition • Chapters 1-4, 6-10, 14 • Sections, 5.6-5.10, 12.4-12.8, 13.6-13.8 • Scientific Non-programmable Calculator • Safety Goggles for Lab • Lab Coat/Apron (Optional) Introductory Chemistry 3 Evaluation and Grade • Tests: 45%; 4 tests, best of 3, no make-up unless good excuses (documented, in advance notice) • Open-book Quizzes: 10%; best n-2, no make-up • Laboratory: 25% • Final Exam: 20% • Homework: Encouraged but not mandatory • Problem Set: Provides but not mandatory • Final withdrawal day: Nov. 10th, 2014 Introductory Chemistry 4 Lab Report/Grade Guideline • Pre-lab write-up (30%): Complete before lab starts, will be checked and signed for completeness – – – – Title/Date Aim/Purpose Introduction Procedures • Lab Performance and Quality of data (25%): will be checked and signed when leaving lab – Observations – Collect and record data • Post-lab (40%) – Result (Calculations, Graphs, Interpretations etc), – Discussions/Conclusions – Post-lab questions if any • Overall Report Neatness (5%) • Report due one week after the completion of experiment for full credit; after two weeks, no report will be accepted, and no......

Words: 2071 - Pages: 9

Premium Essay

Chapter 01 Introduction to Corporate Finance

...fixed assets, long term debt, shareholders equity and retained earnings Difficulty: Medium Learning Objective: 01-01 Ross - Chapter 01 #1 2. In terms of the balance sheet model of the firm, the value of the firm in financial markets is equal to: A. tangible fixed assets plus intangible fixed assets. B. sales minus costs. C. cash inflow minus cash outflow. D. the value of the debt plus the value of the equity. E. the value of the debt minus the value of the equity. Difficulty: Easy Learning Objective: 01-01 Ross - Chapter 01 #2 3. Inventory is a component of: A. current assets. B. current liabilities. C. equity. D. fixed assets. Difficulty: Easy Learning Objective: 01-01 Ross - Chapter 01 #3 4. Using the balance sheet model of the firm, finance may be thought of as analysis of three primary subject areas. Which of the following groups correctly lists these three areas? A. Capital budgeting, capital structure, net working capital. B. Capital budgeting, capital structure, security marketing. C. Capital budgeting, net working capital, tax analysis. D. Capital budgeting, tax analysis, security marketing. E. Net working capital, tax analysis, security marketing. Difficulty: Easy Learning Objective: 01-01 Ross - Chapter 01 #4 5. Which of the following is not considered one of the basic questions of corporate finance? A.......

Words: 1163 - Pages: 5

Premium Essay

Dessler Chapter 01

...After studying this chapter, you should be able to: Human Resource Management 1 TWELFTH EDITION GARY DESSLER Part 1 | Introduction Chapter 1 Introduction to Human Resource Management © 2008 Prentice Hall, Inc. All rights reserved. PowerPoint Presentation by Charlie Cook The University of West Alabama 1. Explain what human resource management is and how it relates to the management process. 2. Give at least eight examples of how all managers can use human resource management concepts and techniques. 3. Illustrate the human resources responsibilities of line and staff (HR) managers. 4. Provide a good example that illustrates HR’s role in formulating and executing company strategy. 5. Write a short essay that addresses the topic: Why metrics and measurement are crucial to today’s HR managers. 6. Outline the plan of this book. © 2008 Prentice Hall, Inc. All rights reserved. 1–2 Human Resource Management at Work • What Is Human Resource Management (HRM)? – The policies and practices involved in carrying out the “people” or human resource aspects of a management position, including recruiting, screening, training, rewarding, and appraising. • The bottom line of managing: Getting results • HR creates value by engaging in activities that produce the employee behaviors that the company needs to achieve its strategic goals. Basic HR Concepts © 2008 Prentice Hall, Inc. All rights reserved. 1–3 © 2008 Prentice Hall, Inc. All rights reserved. ...

Words: 681 - Pages: 3

Premium Essay

Chapter 01

...International Marketing The Scope and Challenge of International Marketing Chapter 1 1 Thursday, 27 February 14 What Should You Learn? • LO1: The benefits of international markets • LO2: The changing face of U.S. business • LO3: The scope of the international marketing task • LO4: The importance of the self-reference criterion (SRC) in international marketing • LO5: The increasing importance of global awareness • LO6: The progression of becoming a global marketer 2 Thursday, 27 February 14 LO1 Global Perspective: Global Commerce Causes Peace • Global commerce during peace time – Commercial aircraft and space vehicle industries – Mobile phone industry – Individuals and small companies • International markets are ultimately unpredictable – Flexibility means survival 3 Thursday, 27 February 14 LO1 Global Perspective: Global Commerce Causes Peace Basil pesto from Israel + raw materials and glass jars from Arab partner = Moshe & Ali’s Gourmet Foods COOPERATION NEVER TASTED SO GOOD!™ 4 Thursday, 27 February 14 LO1 Events and Trends Affecting Global Business • The rapid growth of the World Trade Organisation and regional free trade areas • The trend toward the acceptance of the free market system among developing countries in Latin America, Asia, and Eastern Europe • The burgeoning impact of the Internet, mobile phones, and other global media on the dissolution of national borders • The...

Words: 1573 - Pages: 7

Premium Essay

Chapter One of Alternatives to Gdp

...  Abstract This paper discusses Gross Domestic Product and related concepts as a measure of social progress and welfare. Although GDP remains the most widely used measure of social progress, the recent global financial crisis and continued depletion of natural resources and environmental adverse impact has brought into question the use of GDP as the main indicator of social welfare. Four alternatives to GDP are assessed and evaluated as the standard for national accounts for Botswana and China. Alternatives fall into the following broad categories, corrected GDP and extended national accounts,composite indexes and subjective approaches. Key Words: composite indicators; economic growth; GDP, sustainable indixes. Botswana, China   Table of Contents   Introduction A region's gross domestic product, or GDP, is one of the ways for measuring the size of its economy. The GDP of a country is defined as the total market value of all final goods and services produced within a country in a given period of time (usually a calendar year). It is also considered the sum of value added at every stage of production (the intermediate stages) of all final goods and services produced within a country in a given period of time. Until the 1992 the term GNP or gross national product was used in the United States. The two terms GDP and GNP are almost identical - and yet entirely different; GDP (or GDI - Gross Domestic Income) being concerned with the region in which income is......

Words: 2727 - Pages: 11

Premium Essay

Chapter 01 Financial Statements and Business Decisions

...Chapter 01 Financial Statements and Business Decisions   True / False Questions   1. Accounting is a system that collects and processes financial information about an organization and reports that information to decision makers.  True    False   2. Assets on the balance sheet are recorded at market value or replacement cost.  True    False   3. In accounting and reporting for a business entity, the accounting and reporting for the business must be kept separate from other economic affairs of its owners.  True    False   4. The accounting period in which service revenue is recognized (i.e., revenue for services rendered) is generally the period in which the cash is collected.  True    False   5. Total assets are $70,000, total liabilities, $40,000 and contributed capital is $20,000; therefore, retained earnings are $15,000.  True    False   6. The payment of a cash dividend to stockholders increases stockholders' equity.  True    False   7. The accounting model for the balance sheet is: Assets + Liabilities = Stockholders' Equity.  True    False   8. A decision maker who wants to understand a company's financial statements must carefully read the notes to the financial statements because the notes provide useful supplemental information.  True    False   9. The financial statement that shows an entity's economic resources and its liabilities is the statement of cash flows.  True    False   10. Companies......

Words: 6495 - Pages: 26

Premium Essay

Chapter 8 Multiple Choice

...Donica Morris Chapter 8 Multiple Choice 1. A ________ is a product formula, pattern, design, compilation of data, customer list, or other business secret. trade secret 2. A competitor can lawfully discover a trade secret by performing ________ engineering (i.e., taking apart and examining a rival's product or re-creating a secret recipe). reverse 3. In 1996, the United States Congress enacted the Economic ________ Act, which makes it a federal crime to steal another's trade secrets. Espionage 4. According to United States patent law, patents for inventions are valid for ________ years. twenty (20) 5. According to United States patent law, the patent term begins to run ________. from the date the patent application is filed 6. If a patent application is filed but a patent has not yet been issued, the applicant usually places the words patent ________ on the article. pending 7. Which of the following is not a category of innovation that can be patented under United States patent law? scientific principles 8. To be patented, an invention must be all but which of the following? profitable 9. Under the ________-year "one sale" doctrine, also called the public use doctrine, a patent may not be granted if the invention was used by the public for more than ________ year(s) prior to the filing of a patent application. one; one (1) 10. Patent ________ occurs when someone makes unauthorized use of another's patent. infringement 11. In 1989,...

Words: 383 - Pages: 2

Premium Essay


...of Information Overload on Consumer Choice Quality in an On-Line Environment Research has found that online information overload results in less satisfied, less confident, and more confused consumers. The founding ground for the research has been on the notion of limited human processing capacity (Bettman.J.R., 1979) (Streufert, 1965), if consumers are provided with too much information at a given point in time, such that it exceeds their processing limits, the problem of information overload occurs which leads to poorer decision making and affects performance. Study This study examines the effect of on-line information load on consumer decision quality. Model Used Information load was measured by the number of alternatives and attributes and distribution of each attribute value across alternatives. It combines both traditional and structural approaches to investigating information overload. Result Results from this study largely confirm that when the level of attributes is varied equally across alternatives in addition to the number of attributes being increased, that is, when imposing information overload, consumer choice quality suffered a negative effect and is consistent with prior findings using the structural approach (Lurie, 2002) (West, 1996) Satisfaction in Choice as a Function of the Number of Alternatives Investigations have found how satisfaction from choice varies as a function of the number of alternatives faced (Elena Reutskaja,......

Words: 371 - Pages: 2

Free Essay

Chapter 01 Quiz

...n Ego gratification. Lack of self­confidence. Social status. Prices and income. Prices and income are just as relevant to consumption decisions as are more basic desires and preferences. Multiple Choice  2. Learning Objective: 19­01 Why demand curves are downward sloping.     awar d: 10 out of 10.00 points Which of the following is not a determinant of demand? Desire for the good. Income of the consumer. The cost of the factor inputs. The price of other goods. An individual's demand for a specific product is determined by tastes, income, expectations (for income, prices, tastes), and the availability and price of other goods. The cost of the factor inputs is a determinant of supply. Multiple Choice  3. Learning Objective: 19­01 Why demand curves are downward sloping.     awar d: 10 out of 10.00 points Graphically, as a consumer buys more of a good, the marginal utility line will Increase as more goods are consumed. Increase steadily and then decline. Continuously decline if diminishing returns are present. Follow the same shape as the total utility line. Total utility increases as a consumer enjoys more units of a product. Due to the law of diminishing marginal utility, marginal utility declines. Multiple Choice  4. Learning Objective: 19­01 Why demand curves are downward sloping.     awar......

Words: 1558 - Pages: 7