An economy has two workers, Paula and Ricardo. Every day they work, Paula can produce 4 computers or 16 shirts, and Ricardo can produce 6 computers or 12 shirts. To maximize total output, Paula should specialize in producing ________ while Ricardo should specialize in producing ________.
A. shirts; shirts
B. computers; shirts
C. shirts; computers
D. computers; computers
Answer: C
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_________ is the value, worth, applicability, productiveness or usefulness of a resource
a. Utility b. Marketability c. Credit d. Cache
Under current federal antipoverty programs,
a. economic equality is promoted at the least possible cost in economic efficiency. b. a family's benefits do not depend on its earnings from work. c. a family's total income (cash and in-kind benefits) may actually fall if its earnings from work rise. d. families with children are entitled to no more assistance than families without children.
When the optimal quantity of consumption is zero for a given good:
A. changing social norms is often the best solution. B. a ban is often the best solution. C. privatizing the good is often the best solution. D. government provision of the good is often the best solution.
The correct ranking of degree of market power (from highest to lowest) is
A. Oligopoly, monopoly, monopolistic competition, perfect competition. B. Monopoly, monopolistic competition, oligopoly, perfect competition. C. Monopoly, oligopoly, monopolistic competition, perfect competition. D. Monopoly, monopolistic competition, perfect competition, oligopoly.