P-TV and QRS-TV are trying to decide whether to air a sitcom or a reality show in a given time slot. Viewers like both sitcoms and reality shows, but sitcoms are more expensive to produce than reality shows since real actors need to be hired. QRS-TV makes its decision first, and then P-TV observes that choice before making its decision. Both stations know all of the information in the decision tree below. 
Given the information in this decision tree, if QRS-TV announces that it will air a sitcom, it can expect to:
A. earn $10 million.
B. earn $5 million.
C. lose $5 million.
D. earn $20 million.
Answer: B
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Answer the following statement true (T) or false (F)
Which of the following is an example of a positive economic statement?
A. The unemployment rate last month was too high. B. The unemployment rate should be measured differently because it doesn't include students who can't find jobs. C. Because of the high unemployment rate last month the government should increase government spending. D. The unemployment rate last month was 5.4 percent.
An expansionary monetary policy ________.
A. is designed to reduce aggregate demand B. shifts the aggregate supply curve to the right C. can reduce the length of a recession D. is used when the inflation rate is high
A tradeoff is illustrated by
A) a point inside the PPF. B) a point outside the PPF. C) a change in the slope of the PPF. D) the negative slope of the PPF.