The following graph shows the production possibilities curve for the economy with only two members, Silvia and Art. Silvia can produce either 50 pounds of beef or 2 computers per week, and Art can produce 100 pounds of beef or 1 computer per week. Both of them work 40 weeks per year.
With the opportunity to trade, Silvia can trade all the computers she can produce per year if she specializes in producing computers, for ________ pounds of beef.
A. 3,000
B. 2,000
C. 6,000
D. 4,000
Answer: D
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]If consumers become more optimistic, which of the following is the most likely in the short run?
a. A decrease in output, a decrease in money demand, and a decrease in the interest rate. b. An increase in output, an increase in money demand, and an increase in the interest rate. c. An increase in output, an increase in money demand, and a decrease in the interest rate. d. A decrease in output, an increase in money demand, and a decrease in the interest rate. e. An increase in output, a decrease in money demand, and a decrease in the interest rate.
Usury laws:
A. allocate funds from low-productivity to high-productivity investments. B. establish a legal ceiling on interest rates. C. make more funds available to low-income borrowers. D. create a surplus of loanable funds.
Economists emphasize the importance of ____ in analyzing demand.
A. quantity B. market potential C. wants and needs D. price E. sales opportunities
If Tom's total utility from watching one more minute of television increases but the increase for each additional minute is smaller than the previous minute, he has diminishing marginal utility
Indicate whether the statement is true or false