BIOL 1201 Chapter : 2014 L2 Ch 12 Chemistry 1
Document Summary
Today"s menu: wednesday 03 september 2014: business. Graphing (look over appendix: efficiency: getting the most output out of our given set of inputs, tool: production possibilities frontier (ppf): the limit to our abilities to produce goods or services at a certain point. We say our economy is efficient if we give up something else. (graph of clothing and food) giving up another. Autarky=no trade, if we want to produce something it"s coming from ourselves. Not production but consumption: numerical slope = opportunity cost: get more of one thing by, how trade can benefit all: an example, assumptions, two countries: england, portugal, two homogeneous (only thing that matters is the price) goods: The opportunity cost of one unit of wine in england is 5/2 cloth. The opportunity cost of one unit of wine in portugal is 3/2 cloth. Next time: begin chapter 4: supply and demand .
