The graph above shows the PPC for a country that can produce oil or televisions. The straight line is the trade line and CPC if production is at Point A. Which of the following is a true statement?
A) This country should produce relatively more butter and relatively less coffee.
B) This country should produce relatively less butter and relatively more coffee.
C) This country should produce more of both goods.
D) This country is producing the optimal mix of butter and coffee to maximize its income.
B
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Federal government outlays include ________
A) transfer payments, grants to states, interest payments on the national debt and income tax revenues B) grants to states, interest payments on the national debt, income tax revenues and government purchases C) interest payments on the national debt, income tax revenues, government purchases and transfer payments D) government purchases, transfer payments, grants to states and interest payments on the national debt
The establishment of Jamestown in 1607 was financed by
a. the London Company. b. the Plymouth Company. c. the English Parliament. d. Sir Walter Raleigh.
The law of increasing opportunity costs is reflected in a production possibilities curve that is:
A. an upsloping straight line. B. a downsloping straight line. C. bowed out from the origin. D. bowed in toward the origin.
People who are the most at risk for health problems are the most likely to sign up for health insurance. Health insurance premiums rise to cover the increased costs of these people, whereupon the less at risk drop their health insurance coverage, worsening the problem. This problem is called the
A. health care poverty problem. B. moral hazard problem. C. adverse selection problem. D. health care uncertainty problem.