If the country represented in this graph now can produce a maximum of 12 units of guns if it shifts all resources to gun production and could produce a maximum of 9 units of butter if it used all its resources for butter production then it would have experienced __________________.
economic decline (or inward shift in the production possibilities curve)
You might also like to view...
When looking at data for unemployment and inflation from the 1970s there is evidence to support the short run Phillips Curve.
Answer the following statement true (T) or false (F)
Laws and courts tend to make markets work ________ and make society ________
A) less effectively; poorer B) less effectively; richer C) more effectively; poorer D) more effectively; richer
Compared to the situation in which it sets a single price, a monopoly that price discriminates ________ its economic profit and ________ its output
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases E) increases; does not change
In economics, what is the difference between the short run and the long run?
What will be an ideal response?