Home > Microeconomics > Practice Quiz: PPF Numbers and Graphing

Practice Quiz: PPF Numbers and Graphing

Suppose an economy has 10,000 labor hours available, and that it takes 2 labor hours to produce a kilo of rice, and 20 labor hours to produce a mobile phone.

  1. If this economy puts all its labor resources into rice production, how many total mobile phones can it produce?
  1. If this economy puts all its labor resources into mobile phone production, how many total kilos of rice can it produce?
  1. If this economy puts none of its resources into mobile phone production, how many total kilos of rice can it produce if all labor resources are fully used?
  1. If this economy is producing 200 mobile phones, how many labor hours does that require?
  1. If this economy is producing 200 mobile phones, how many labor hours are available for rice production?
  1. If this economy is producing 200 mobile phones, how many kilos of rice can it produce if all labor resources are fully used?
  1. Graph the PPF, with rice on the horizontal axis.
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Categories: Microeconomics
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