The figure above shows the production possibilities frontier for a country. If the country is producing at point D, then the
A) resources are being used efficiently.
B) technology associated with producing SUVs and compact cars is advancing.
C) resources are not being used efficiently and/or are unemployed.
D) production of SUVs and compact cars is maximized.
E) None of the above answers is correct because it is not possible to produce at point D.
C
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When a unit tax is placed on a supplier they are generally able to shift a portion of the burden to demanders by raising the prices paid by demanders
a. True b. False
Firms in perfectly competitive markets are confined to making profits in the short run, but never a loss.
Answer the following statement true (T) or false (F)
If a country tries to stimulate the economy with fiscal policy, the effects will be exchange rate
a. depreciation, lower interest rates, and a small increase in aggregate demand. b. depreciation, higher interest rates, and a small decrease in aggregate demand. c. appreciation, lower interest rates, and a small increase in aggregate demand. d. appreciation, higher interest rates, and a small increase in aggregate demand.
Unlike the New York Stock Exchange, NASDAQ is an electronic stock market with trades executed through a sophisticated computer and telecommunications network
Indicate whether the statement is true or false