[dmotapane]

table 1.1

Possibility ORANGES (TONS OF OUTPUT) APPLES (TONS OF OUTPUT
A 30.0 0.0
B 29.0 20.0
C 26.5 28.0
D 22.5 34.0
E 16.5 38.0
F 0.0 40.0

1.1 Using the information given, plot a fully labelled diagram to illustrate the production possibility curve (ppc)anduse it to explain the concept of Scarcity, choice and opportunity cost. (note oranges should be on the Y axis and apples on the x axis)

1.2 Suppose that the market demand and supply curves are given by QD-200-2P AND Qs - 50- p calculate the equilibriam price and quantity (show all workings)

Evaluate the economic situatiion of your Country and state the type of economy system that is used in the country.

[Curlyben]

What do YOU think ?