As long as all resources are fully employed and every firm


1. For each of the following, describe some of the potential opportunity costs:

a. Studying for your economics test

b. Spending 2 hours playing computer games

c. Buying a new car instead of keeping the old one

d. A local community voting to raise property taxes to increase school expenditures and to reduce class size

e. A number of countries working together to build a space station

f. Going to graduate school

2. “As long as all resources are fully employed and every firm in the economy is producing its output using the best available technology, the result will be efficient.”Do you agree or disagree with this statement? Explain your answer.

Solution Preview :

Prepared by a verified Expert
Microeconomics: As long as all resources are fully employed and every firm
Reference No:- TGS0658141

Now Priced at $35 (50% Discount)

Recommended (99%)

Rated (4.3/5)