If the opportunity costs of producing a good increase as more of that good is produced, the economy's production possibility frontier will be
A. a negatively sloped straight line.
B. negatively sloped and "bowed inward" toward the origin.
C. negatively sloped and "bowed outward" from the origin.
D. a positively sloped straight line.
Answer: C
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Refer to Scenario 2. What are the units of measurement for the standard error of the estimate?
What will be an ideal response?
Jim has estimated elasticity of demand for gasoline to be 0.7 in the short-run and 1.8 in the long run. A decrease in taxes on gasoline would:
a. lower tax revenue in both the short and long run. b. raise tax revenue in both the short and long run. c. raise tax revenue in the short run but lower tax revenue in the long run. d. lower tax revenue in the short run but raise tax revenue in the long run.
Which of the following would maintain equilibrium without any changes in price or quantity?
a. supply unchanged; demand unchanged b. supply unchanged; demand decreases c. supply increases; demand unchanged d. supply unchanged; demand increases
Compared to the typical high-school graduate, the typical college graduate has greater human capital and thus more options for both low-skill and high-skill jobs. This is called:
A. the signaling effect of a college education. B. the learning effect of a college education. C. the discriminatory effect of a college education. D. All of these