Output combinations that lie inside the production possibilities curve are characterized by efficient use of resources.
Answer the following statement true (T) or false (F)
False
Efficient levels of production lie on the production possibilities curve.
You might also like to view...
Refer to Table 4-4. If a minimum wage of $10.50 is mandated there will be a
A) surplus of 30,000 units of labor. B) surplus of 60,000 units of labor. C) shortage of 60,000 units of labor. D) shortage of 30,000 units of labor.
Use the following graph to answer the next question.
Assume that Japan and the United States are engaged in a system of flexible exchange rates. If more Japanese tourists decide to visit the United States for their vacations, the yen will ________ and the U.S. dollar will ________.
A. depreciate; depreciate B. depreciate; appreciate C. appreciate; depreciate D. appreciate; appreciate
Which of the following is an example of spending on factors of production in the circular flow model?
A) Tuan purchases a cappuccino at the student union. B) Laurence rents a car to drive to a wedding in San Diego. C) Yvette pays $50 to join a softball league. D) The "Lucky Ducky" casino buys a new craps table for the casino floor.
If ________, a firm would shut down in the short run and exit the industry in the long run.
A. TR > TVC but TR < TC B. TR = TC C. TR < TVC D. TR > TFC