The production possibility curve (PPC) indicates that as more of one good is produced.
Less of the other goods is produced
The same quantity of the other good is produced
More of the other good is produced
None of the other good is produced
Correct answer is A
A production possibility curve (PPC) is a curve which shows various combinations of the amounts of two goods which can be produced within the given resources. It shows that, as a firm produces more of a particular good, less of the other combination would be produced.
For instance, if two different products say X and Y are meant to be produced from a particular raw material, if the producer produces more of commodity X from the available material, the materials used in the production of commodity Y would be less. The producer can decide to produce equal amount of each product, but if more of one is produced, less of the other product would be produced.
The following are advantages of large scale agriculture except
Use of simple implements
Use of sophisticated implements
Increase in employment
Integration of crops and animal farming
Correct answer is A
The use of simple implements is an advantage of subsistent system of farming and not large scale farming. Large scale farming requires the use of sophisticated and advanced farm tools and machineries such as tractors, trucks etc.
The difference between the money cost and the real cost of any item is that
Real cost is the alternative forgone while the money cost is the actual amount paid for buying the item
The real cost is the opportunity cost, while the money cost is the marginal cost
Money cost is the opportunity cost, while the real cost is the actual cost in monetary terms
Money cost is always greater than the real cost
Correct answer is A
Real cost is the cost of producing a good or service, including the cost of all resources used and the cost of not employing those resources in alternative uses. While Money cost is the cost of acquiring a product or service in available cash.
In summary, Real cost implies an accumulation of various kinds of costs to attain the total costs while "Money" cost is the production cost expressed in monetary terms.
The role of government in promoting agricultural development includes the following except
Paying the wages of farmers
Establishing and funding research
Formulation of policies
Provision of rural infrastructures
Correct answer is A
Government through its agencies relative to agriculture promote local agricultural products, provide food safety and inspection services, soil conservation and environmental protection. State policies regulate the production, transportation, processing, and marketing of commodities.
Paying the wages of farmers is not part of government role in encouraging agric development. Farmers get their rewards from the sales of agricultural produce.