ECS1501 ASSESSMENT 1 SEM 1 OF 2024 QUESTIONS AND SOLUTIONS

I confirm
that this assessment will be my own individual work;
that I will not communicate with anyone else in any way during the completion of this
assessment;
that I will not cheat in any way in completing and submitting this assessment.




I confirm.


I do not confirm.

Question 2
Complete
Mark 1.00 out of 1.00

Flag question

Question text
An increase in the nation's capital stock will


cause a movement along the PPC up and to the left.


shift the PPC outward.


move the nation from producing within the PPC to producing at a point closer to the PPC.


cause a movement along the PPC down and to the right.
Feedback
The most noticeable effect of an increase in the nation's capital stock is that it causes the PPC
to shift outward, away from the origin. This shift signifies that the economy's potential to
produce both goods has increased. It indicates that the nation can now produce more of both
goods compared to its previous capabilities.

Question 3
Complete
Mark 1.00 out of 1.00

Flag question

Question text
If production of two goods is currently at levels such that we are inside the production
possibilities curve