Consider the production possibilities frontier displayed in the figure shown. A society should choose to produce:
A. at point C because it is the safest.
B. at point B because it represents the most the society can produce.
C. at any point that produce some of each good.
D. at any point on the frontier rather than inside it.
D. at any point on the frontier rather than inside it.
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If Mark's marginal utility per dollar spent on the last taco is 15 and his marginal utility per dollar spent on the last burrito is 20 units, what should Mark do to increase his total utility?
What will be an ideal response?
What is the inflation gap? What is the output gap?
What will be an ideal response?
In 2002 mortgage rates fell and mortgage lending increased. Which of the following could explain both of these changes?
a. The demand for loanable funds shifted rightward. b. The demand for loanable funds shifted leftward. c. The supply of loanable funds shifted rightward. d. The supply of loanable funds shifted leftward.
The unemployment due to changes in the types of skills employers require is called __________ unemployment
A) structural B) cyclical C) natural D) frictional