Show description

Starbucks provides another example. The company routinely uses efficiency experts to look for ways to increase the number of drinks served with a given amount of labor. In 2009, for example, it found that just by moving the whipped cream and caramel drizzle closer to where the drinks are handed to customers reduced preparation time from 45 seconds per drink to 37 seconds. Starbucks made these changes to save on labor costs and increase the company’s profits. But from society’s perspective, resource-saving efforts by Starbucks and other business firms free up labor time that can be used to produce other things.

True, when the from a point like A, inside the PPF, to a point like B, economy is in recession, an increase in any kind of employment on the frontier. Military production, such as tanks, can be regarded as a benefit—especially to those who get the increased, but so did the production of civilian jobs. But this is a special, temporary situation. Once a recession goods, such as wheat. Although there were shortends, the software engineers—if not for the spam—would be ages of some consumer goods, the overall result was employed elsewhere.

Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it. 5 Shifts of Curved Lines (a) (b) Y Y C CЈ C X An increase in Z causes an increase in Y at any value of X Here’s a very simple—but crucial—rule: Suppose Y is the dependent variable, which is measured on one of the axes in a graph. If the independent variable measured on the other axis changes, we move along the line. But if any other independent variable changes, the entire line shifts.