Micro 1.4-Advantage and Trade-Video Choice

Last updated 4 months ago
10 questions
PICK ONE VIDEO. Watch the video and answer the questions.
Both VIDEOS ARE NOT NEEDED!!!!

However, watching both and doing both problem sets can serve as a small bonus toward your homework.
1

The three big topics are absolute advantage, comparative advantage and terms of tater tots.

1

Who has absolute advantage in triangles, according to the model?

1

Paulastan has no incentive to trade since they have absolute advantage in both goods.

1
When looking at who should _______________ in producing a certain good, we should consider the __________________________ and NOT the _______________________ .
Other Answer Choices:
absolute advantage
comparative advantage
specialize
1

Paulastan would trade 1 plane for 1/2 car.

1
Opportunity Cost is the ____________valued foregone alternative and NOT __________ foregone opportunity, when making a choice.
Other Answer Choices:
highest
every
1

Opportunity cost is the direct cost of making a choice or decision.

1

The overall cost of any decision is the out of pocket cost + opportunity cost.

1
The opportunity cost is the __________ __________ foregone opportunity.
1

The opportunity cost will _______ from person to person. (1 word)