The production possibilities curve shows:
A. the various combinations of two goods that can be produced when society employs all of
its scarce resources.
B. the minimum outputs of two goods that will sustain a society.
C. the various combinations of two goods that can be produced when some resources are
unemployed.
D. the ideal, but unattainable, combinations of two goods that would maximize consumer
satisfactions.
Answer: A
You might also like to view...
Who from among the following would be counted as unemployed?
A. A person with a part-time job who wants and is looking for a full-time job. B. A person who is willing to work but has not looked for a job in two months. C. A person who is willing to work and has looked for a job in the last week. D. All of these people would be counted as unemployed.
A change in the quantity demanded of a product is the result of a change in
A) consumer income. B) the price of the product. C) the cost of producing the product. D) the price of related goods.
In the long run
A. all costs are variable. B. total variable cost equals total fixed cost. C. total fixed cost is greater than total variable cost. D. all costs are fixed.
Which of the following statements explains the vicious circle of poverty?
A. By investing in education and infrastructure at the same time, the country can overcome the problems of poverty. B. Poverty arises out of the lack of investment, but countries cannot invest because they are poor. C. A nation can shift its production possibilities curve inward by shifting more resources into the production of capital goods. D. A nation can shift its production possibilities curve outward by shifting more resources into the production of consumer goods.