hello,

can you help me solve these questions please?

thank you,

1.A production possibilities frontier can shift outward if

(a) government increases the amount of money in the economy.

(b) there is a technological improvement.

(c) resources are shifted from the production of one good to the production of the other good.

(d) the economy abandons inefficient production methods in favor of efficient production

Methods.

2. When each person specializes in producing the good in which he or she has a comparative

advantage, total production in the economy

(a) falls.

(b) stays the same.

(c) rises.

(d) may fall, rise, or stay the same

.

3. In year 2015, 1334 million lbs milk was produced and sold in Canada. This is

(a) the decision of the Canada department of agriculture.

(b) quantity determined by the interactions in the market.

(c) the maximum amount the producers could produce.

(d) what consumers needed.

4. A trade-o exists between a clean environment and a higher level of income in that

(a) studies show that individuals with higher levels of income pollute less than low-income individuals.

(b) efforts to reduce pollution typically are not completely successful.

(c) laws that reduce pollution raise costs of production and reduce incomes.

(d) employing individuals to clean up pollution causes increases in employment and

7. The producer that requires a smaller quantity of inputs to produce a certain amount of a

good, relative to the quantities of inputs required by other producers to produce the same

amount of that good,

(a) has a low opportunity cost of producing that good, relative to the opportunity costs of

other producers.

(b) has a comparative advantage in the production of that good.

(c) has an absolute advantage in the production of that good.

(d) should be the only producer of that good.

8. If the CPI is 180 for 2015 and the base year is 1982, this means that:

(a) Prices went up by 80 percent from 1982 to 2015.

(b) Prices went up by 180 percent from 1982 to 2015.

(c) Prices went up by 280 percent from 1982 to 2015.

(d) Prices went down by 80 percent from 1982 to 2015.

11. Consider the market for potatoes with inverse demand given by P = 602 QD and inverse

supply given by P = 10 + 3 QS. Find the consumer surplus and producer's surplus.

(a) CS =110, PS=150.

(b) CS =100, PS=150.

(c) CS =90, PS=150.

(d) CS =100, PS=120.

12. Consider the market for potatoes with inverse demand given by P=60-2*Q and inverse supply given by P=10+3*Q. Suppose the Price Ceiling is $25. Find the Deadweight Loss.

(a) DWL=62.5.

(b) DWL=50.

(c) DWL=72.5.

(d) DWL=52.5.

13. Suppose the demand is given by P=10-2Q, and the equilibrium price is $4. What is the value

of the consumer surplus?

(a) $5.

(b) $9.

(c) $7.

(d) Cannot be determined without more information.

18. Assume you are consuming two goods, X and Y. Suppose that the money prices for X and Y remain unchanged, but your income increases by 20%. What happens to your consumption

of good X?

(a) it stays the same.

(b) it increases or decreases, depending on whether it is normal or inferior.

(c) it decreases.

(d) it increases.