Key Terms shifting the PPC Define Investment- Identify the three shifters of the PPC Define Capital Stock- Production Possibilities Practice [ draw $ PPC's with pizza and cars) Scenario: Workers lose their jobs Scenario: Increase in consumer Scenario: More resources that due to a recession demand for pizza improve the production of cars Pizza Pizza Pizza Cars Cars Cars Absolute and Comparative Advantage Output Questions Input Questions The table shows the amount of super and cars each The table shows the number of hours it takes to produce a cuining cun mike with the same number of resources box of sausage and i ton of computers Sugar (tons) Cars Computers 40 10 Cuba Canada 10 10 Mexico UK I. Which country has an absolute advantage in sugar? I. Which country has an absolute advantage in How about cars? sausage? How about computers? 2 What is Cuba's opportunity cost for producing one 2 What is Canada's opportunity cost for producing one computer! 3. Which country has a comparative advantage in 3. Which country has a comparative advantage in cars? How about sugar? computers? How about sausage? 4 For both countries to benefit from trade, how much 4 For both countries to benefit from trade, how many sugar can be traded for each car? I Car for sausages can be traded for each computer? I comp Sugar for sausage