Output combinations that lie inside the production possibilities curve are characterized by efficient use of resources.
Answer the following statement true (T) or false (F)
False
Efficient levels of production lie on the production possibilities curve.
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Which of the following would cause a leftward shift in the investment function?
A) technological progress B) a reduction in the rate of interest C) optimistic expectations about business conditions D) an increase in business taxes
A characteristic of a public good is
A. clear property rights. B. rival consumption. C. the exclusion principle. D. the free-rider problem.
The value that consumers get (from consuming a product) over and above that they actually paid for the product is called:
A. Consumer utility B. Consumption expenditures C. Consumer surplus D. Consumer demand
The barrier to entry which requires electricians to be licensed is an example of
A. government rules. B. economies of scale. C. ownership of a scarce factor of production. D. patents.