VIEWPOINT ASSIGNMENT 1

 

In his 2003 Economic Report, President George W. Bush said:  “Formal education is a direct way to invest in human capital, and there is some evidence of a positive relationship between national income and educational attainment.  In 2000, the average duration of schooling in low-income countries was 4.4 years (3.3 for females), compared with 10 years in high-income countries (9.8 for females).  In a cross-country analysis of 98 developing and developed countries covering 1960-1985, a 1-percentage increase in the primary school enrollment rate was associated with a 2.5 point increase in the growth in income per capita.”

 

a.      Suppose that an economy produces only two things:  food and education.  What would the production possibilities curve for such a country look like?  Draw its general shape on a graph and label it completely and correctly.

b.      Can this production possibilities curve tell us whether all the citizens in this economy have access to high-quality education?  Why or why not?

c.      Can this production possibilities curve indicate the cost of raising educational attainment?  Why or why not?

 

 

 

ALL ASPECTS OF THE BERKELEY HONOR POLICY APPLY TO THIS ASSIGNMENT

  • Your Viewpoint must contain the appropriate graph.

  • Your graph must be handwritten.

  • Answer the questions in order.

  • Your written answers may be hand-written or printed

  • Your written answers do NOT have to be written in complete sentences

  • Your answers must be in your own words.
  • Use appropriate economic theory and vocabulary from your textbook and the material posted online.

  • Your Viewpoint is due at the beginning of the class on the assigned due date; assignments turned in after class will be penalized one point per day late.