Part 2. Matching: Match the Key terms in Column "A" with the definitions in Column "B" by writing the block (upper) case letter of your choiceunder column "A" and match the definitions in column "B" with the meanings or examples or real world applications or factsor formulas in column"C" by writing the small (lower) case letter of your choice under column "B".

I want only even-numbered questions. Thank you.

Chapter 2. Production Possibilities Frontier (PPF) Framework: Pre-Class & In-Class Activities Packet Name/I.D. Number: Section: Date: Part 2. Matching: Match the Key terms in Column "A" with the definitions in Column "B" by writing the block (upper) case letter of your choice under column "A" and match the definitions in column "B" with the meanings or examples or real world applications or facts or formulas in column "C" by writing the small (lower) case letter of your choice under column "B". Column "A" Column "B" Column "C" 1. Production A. The body of skills and knowledge a. The ability to produce a good or service by sacrificing the least Possibilities involved in the use of resources in amount of any other good or service that can be produced using production. An advance in technology more or less the same quality or quantity of resources. For example, Frontier (PPF) commonly increases the ability to U.S. may have absolute advantage (least cost advantage) as produce more output with a fixed compared to Mexico as far as the production of aircraft and corn. But amount of resources or the ability to U.S. may still have a comparative advantage over Mexico in the produce the same output with fewer production of aircraft as compared to the production of corn. It is a 2. Law of Increasing resources. lesser condition for international trade to happen between or among Opportunity Costs B. The condition where less than the countries. maximum output is produced with the b. The inability to produce the maximum possible output obtainable given resources and technology. from a given set of inputs or factors of production available to the Productive inefficiency implies that firm because of certain constraints. Once the constraints are removed, 3. Productive more of one good can be produced it is possible to increase the output. Efficient without any less of another being C. The situation whereby all available resources are fully employed produced. and one cannot increase the amount of one of the goods that the C. The condition where the maximum economy can produce without sacrificing the other. It has the output is produced with the given tendency to increase as more and more of the product is desired & 4. Productive resources and technology. produced by the society at the expense of the other good(s). Inefficient d. It is a hypothetical frontier or boundary that shows a production D. As more of a good is produced, the trade off that exist in an economy using two dimensional space. opportunity costs of producing that Points on the frontier represent efficiency and movement along the good increase. frontier to any direction entails sacrifice of one to increase the other E. The possible combinations of two good because resources are fully utilized or employed. 5. Technology goods that can be produced in a certain e. It is a method or technique of production that makes it easier for period of time under the conditions of a companies to produce more goods and services from less given state of technology and fully amount of resources or it helps to reduce the cost of production per employed resources unit even though it is expensive when it is initially adopted. 6. Comparative F. The situation where someone can f. The ability or the capacity to produce the maximum possible output obtainable from a given amount of resources available Advantage produce a good at lower opportunity cost than someone else can. to the firm. 3