Moe divides his time between studying Physics and studying Economics. He has discovered that he can earn grades as shown on this production possibilities curve. Refer to the figure above. Both of Moe's professors require at least a 65 to pass and a 90 to earn an A. After looking at his PPC, Moe realizes that:
A) he can pass both classes.
B) he can pass economics, but only if he fails physics.
C) he can pass physics, but only if he fails economics.
D) he could earn an A in economics and still pass physics.

Question

Moe divides his time between studying Physics and studying Economics. He has discovered that he can earn grades as shown on this production possibilities curve.  Refer to the figure above. Both of Moe's professors require at least a 65 to pass and a 90 to earn an A. After looking at his PPC, Moe realizes that:
A) he can pass both classes. 
B) he can pass economics, but only if he fails physics. 
C) he can pass physics, but only if he fails economics. 
D) he could earn an A in economics and still pass physics.

Quizplus · Accepted Answer

Moe can earn a grade of 65 in both classes by dividing his time equally between studying for physics and economics. This would put him on the PPC at the point where both subjects have a grade of 65. Therefore, Moe can pass both classes. Additionally, Moe can earn an A in economics and still pass physics by studying more economics than physics. This would put him on the PPC at the point where economics has a grade of 90 and physics has a grade of at least 65.

Moe Divides His Time Between Studying Physics and Studying Economics