Figure 2-3 -Refer to Figure 2-3.Sergio Vignetto Raises Cattle and Llamas on and Llamas

question 258

Multiple Choice

Figure 2-3
-Refer to Figure 2-3.Sergio Vignetto raises cattle and llamas on his land.A portion of his land is more suitable for raising cattle,and the other portion is better suited for raising llamas.Which of the graphs in Figure 2-3 represent his production possibilities frontier?

• A) Graph A
• B) Graph B
• C) Graph C
• D) either Graph A or Graph C
• E) either Graph B or Graph C

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Definitions:

Total Output

The total amount of goods and services produced by an economy or firm in a specific period.

Total Revenue

The total amount of money generated by a firm from selling its goods or services before any costs or expenses are subtracted.

Labor Productivity

A measure of economic performance that compares the amount of goods and services produced with the number of hours worked.

Standard Of Living

A measure of the wealth, comfort, material goods, and necessities available to a certain socioeconomic class or geographic area.