The curve that represents all possible combinations of goods that can be produced is called
A) the production possibilities curve.
B) the resource allocation curve.
C) the efficiency curve.
D) the supply curve.
A
You might also like to view...
Monopolistically competitive firms can earn profits in the long run by:
A. price discriminating. B. continually innovating to differentiate their product. C. further minimizing their costs. D. monopolistically competitive firms only earn zero profits in the long run.
In 1981, U.S. policy makers predicted a balanced budget as: a. the budget included a decrease in defense expenditures
b. the budget included an increase in the tax rate. c. the budget included an increase in unspecified government spending. d. the growth in GDP was expected to be large enough to lead to an increase in tax revenues despite the tax cut. e. the growth in GDP was expected to be small enough to require less government spending.
When the Fed unexpectedly reduces the money supply, it will cause a decrease in aggregate demand because
a. real interest rates will rise, lowering business investment and consumer spending. b. the dollar will depreciate on the foreign exchange market, leading to an increase in net exports. c. lower interest rates will cause the value of assets (for example, stocks) to rise. d. the national debt will increase, causing consumers to reduce their spending.
A firm estimates its long-run production function to beQ = -0.0075K3L3 + 12K2L2Suppose the firm employs 12 units of capital. At ________ units of labor, marginal product of labor begins to diminish.
A. 32.21 B. 44.44 C. 76.66 D. 82.27 E. 66.67