In the figure above, the point labeled C in the production possibilities frontier
A) is unattainable; it is beyond the productive capability of this country.
B) represents a highly desirable output level in the long run, because it conserves scarce resources.
C) represents either unemployed or inefficiently utilized resources.
D) represents the maximum sustainable output level for this nation in the long run.
C
You might also like to view...
A subsidy to carrot farmers will
A) increase the quantity of carrots demanded. B) decrease the quantity of carrots supplied. C) increase the supply of carrots. D) leave both the supply and demand of carrots unchanged.
Which of the following is NOT among the statements that critics of prospect theory have made about it?
A. It is not necessary, since expected utility theory accounts rather well for most risky choices. B. The evidence reflects systematic mistakes that consumers might correct through experience and awareness. C. Instead of explaining behavioral puzzles, prospect theory merely summarizes them. D. Loss aversion has been proven to be false in many theoretical and experimental economic works.
The Federal Reserve's primary function is to control the money supply
a. True b. False Indicate whether the statement is true or false
If consumer confidence rises, then aggregate demand shifts
a. right, making inflation higher than otherwise. b. right, making inflation lower than otherwise. c. left, making inflation higher than otherwise. d. left, making inflation lower than otherwise.