Suppose That a Worker in Country a Can Make Either

question 16

Multiple Choice

Suppose that a worker in Country A can make either 10 iPods or 5 tablets each year.Country A has 100 workers.Suppose a worker in Country B can make either 2 iPods or 10 tablets each year.Country B has 200 workers.Suppose Country B's population of workers increased to 600.Which of the following statements is now true?

• A) Country B's production possibilities curve has rotated out for only production of iPods.
• B) Country B's production possibilities curve has shifted straight out.
• C) Country B's production possibilities curve has shifted straight in.
• D) Country B's production possibilities are now more limited because of crowding from having more workers.

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Definitions:

CPI Rate

The Consumer Price Index (CPI) rate measures the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.

Pay as an Investment

The perspective of compensating employees as a strategic investment towards achieving the organization's goals, where better pay leads to better performance and outcomes.

High-Quality Workforce

A group of employees known for their exceptional skills, high productivity, and capability to drive organizational success.

Labor Costs

The total sum of all wages paid to employees, as well as the costs of employee benefits and payroll taxes incurred by an employer.