A country produces only cans of soup and ink pens. If the country produces on its bowed outward PPF and increases the production of cans of soup, the opportunity cost of additional
A) cans of soup is decreasing.
B) ink pens is increasing.
C) cans of soup is increasing.
D) cans of soup remains unchanged.
E) More information is needed to determine what happens to the opportunity cost.
C
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A firm's average variable cost is $90, its total fixed cost is $10,000, and its output is 1,000 units. Its total cost is
A) less than $85,000. B) between $85,000 and $95,000. C) between $95,000 and $105,000. D) more than $105,000.
Direct finance involves ________
A) borrowing monies from commercial banks B) issuing securities in financial markets C) borrowing from the Federal Reserve System D) issuing insurance policies
If the firm has no fixed costs and variable costs of $2 per unit, what is the value of the firm's monopoly profits when it sets a price that maximizes its monopoly profits?
a. $7 b. $12 c. $15 d. $16
The price of hard drives used in the manufacturing of laptop computers has risen. This will lead to ________ laptop computers.
A. a decrease in the quantity supplied of B. an increase in the quantity supplied of C. a decrease in the supply of D. an increase in the supply of