The following production possibilities table gives the various combinations of hours that can be worked and GPAs that can be earned by a particular college student who holds a job and takes 12 credit hours of courses a semester. Draw a production possibilities curve based on the information in this table on the graph provided and answer the following questions. 

a. What is the opportunity cost for this student of increasing the hours worked per week from 10 to 20?

b. What factors could cause this curve to shift to the right?

c. What factors could cause this student to operate inside, or to the left, of this production possibilities curve?

d. What would determine the student’s best location on this curve?

e. Are there any similarities between the choices that this student makes concerning hours worked and GPA and the choices an economy makes between the production of consumer goods and capital goods?

Transcribed Image Text:

Hours Worked per Week 50 40 30 20 10 0 GPA 0.00 1.00 1.90 2.60 3.25 3.75 Hours Worked per Week 60 50 40 30 20 6 9 10 0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 GPA