Changes in Productivity
Lesson Summary
This scene demonstrates various examples of productivity improvements and asks students to identify how changes in certain inputs impact the production function.
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Clip Summary
Each player receives a tin containing a honeycomb imprinted with one of four shapes: a circle, a triangle, a star, or an umbrella, which they choose at random before the game begins. Each participant must extract the shape undamaged from the honeycomb tin within 10 minutes in order to stay alive. Figuring out how to extract the shape from the honeycomb makes the game significantly more challenging. The triangle was the easiest to complete, while the umbrella was the most difficult. Gi-Hun (player 456) ends up picking the most difficult shape, an umbrella but is able to complete the game by licking the back of the honeycomb to melt it. Han Mi-nyeo (player 212) realizes that using a lighter can help the needle pierce the honeycomb.
Assessment Questions
1. Gi-Hun (player #456) discovers that licking the honeycomb will melt it and reveal the shape. This could be seen as an improvement in:
​A. Technology
B. Physical capital
C. Natural resources
D. Land​
2. If we discover new natural resources, illustrate the effects on a production function.​
3. Han Mi-nyeo (player 212) realizes that using a lighter can help the needle pierce the honeycomb. This could be seen as an improvement in:
A. Technology
B. Physical capital
C. Natural resources
D. Land
4. If we use greater levels of physical capital, illustrate the effects on a production function.
Hover over box to see suggested answers
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C. Natural Resources
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An increase in natural resources makes the economy more productive regardless of the level of capital investment. The production function shifts up. [Left image]
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B. Physical capital
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We move up along the production function. The slope of the production function is decreasing at higher levels of capital, which indicates the diminishing marginal product of capital. [Right image]
