"The Government of Barbados should do more to reduce the crime rate in urban areas."
Is the above statement a Positive or Normative Statement?
Submitted by: Krish Beachoo
The statement is a Normative Statement since it is an opinionated statement.
Jun 20 2025 - 12:10 AM
"The real GDP of Trinidad and Tobago in 2024 was estimated to be 25.52 Billion USD by Statista."
Is the above statement a Positive or Normative Statement?
Submitted by: Krish Beachoo
The statement is a Positive Statement since it is a factual statement.
Jun 20 2025 - 12:10 AM
At what point(s) are there inefficient production?
Submitted by: Krish Beachoo
Inefficient production occurs at any point within the Production Possibility Frontier, hence the point of inefficient production will be F.
Jun 18 2025 - 12:46 AM
Distinguish between Productive and Allocative Efficiency
Submitted by: Krish Beachoo
Productive Efficiency
This is the largest quantity of goods and services produced from a given quantity of inputs.
Allocative Efficiency
This is a state where resources are allocated to produce the most appropriate combination of goods and services.
Let's take the simple scenario of a car manufacturer, specifically Porsche.
At the end of the day, Porsche makes many different types of vehicles.
If we narrow down to Productive Efficiency, this is where Porsche would be making all their vehicles in the best way possible utilising all their resources (time and materials).
Compared to Allocative Efficiency, this is where Porsche focuses on utilising its resources appropriately to give consumers what they want. This is usually based on the consumer satisfaction. For example: If many customers want The 911 GT3, for Porsche to be allocatively efficient, they should focus their resources to producing this model.
Jun 18 2025 - 12:46 AM
Let's say you are at your school cafeteria, you have a total of 10 dollars to spend.
The following options are open to you:
- A Water for 10 dollars.
- A sandwich for 10 dollars.
How can you explain Scarcity, Choice and Opportunity Cost from the above scenario?
Submitted by: Krish Beachoo
"Scarcity" is present through the fact that you do not have enough money to purchase both products nor is there more resources to satisfy your need/want.
"Choice" is obvious in the fact that you have to choose which you want to buy and which to go without.
Lastly, "Opportunity Cost" is present as whichever one you choose, there is an alternative foregone. For instance, if you chose the sandwich, your opportunity cost will be the water and vice versa if the water was chosen.
Jun 18 2025 - 12:46 AM
