Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point A. The opportunity cost of moving from Point A to Point B is the
A. 30 LCD televisions that must be forgone to produce 60 additional OLED televisions.
B. 90 LCD televisions that must be forgone to produce 20 additional OLED televisions.
C. 30 LCD televisions that must be forgone to produce 20 additional OLED televisions.
D. 120 LCD televisions that must be forgone to produce 40 additional OLED televisions.
Answer: C
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Which group within the Federal Reserve System meets to discuss changes in the economy and determine monetary policy?
a. the Board of Governors b. the FOMC c. the regional Federal Reserve Bank presidents d. the Central Bank Policy Commission
Absolute real economic growth is an increase in __________ from one period to the next
A) GDP B) Real GDP C) per-capita Real GDP D) per-capita GDP E) none of the above
If Japan gives up ten bushels of rice to produce one bicycle, while the United States gives up five bushels of rice to produce one bicycle, then:
A. the opportunity cost of producing bicycles in the United States is higher than in Japan. B. Japan has a comparative advantage in the production of bicycles. C. total output will be highest if Japan specializes in rice and the United States specializes in bicycles. D. total output will be highest if the United States specializes in rice and Japan specializes in bicycles.
A fall in the U.S. price level will cause foreigners to:
A. substitute their own domestically-produced goods for U.S. goods. B. substitute U.S. goods for their own domestically-produced goods. C. buy more of their own domestically-produced goods. D. buy fewer U.S. goods.