If resources are combined efficiently in production, then the society
A. is producing at the most-desirable point on the production possibility frontier.
B. is producing at a point outside the production possibility frontier.
C. is experiencing economic growth.
D. is producing at a point on the production possibility frontier but not necessarily at the most-desirable point.
Answer: D
You might also like to view...
The above table gives the initial balance sheet for Mega Bank. Mega Bank's desired reserves equal its required reserves. Based on the initial balance sheet, what is the required reserve ratio for Mega Bank?
A) 3 percent B) 10 percent C) 30 percent D) 1.4 percent
If buyers were required to pay the federal excise tax on gasoline directly to the government, the demand curve for gasoline would shift up
Indicate whether the statement is true or false
The circular-flow diagram illustrates that:
A) production generates income so that income and production are the same. B) the economy's income is less than its production. C) the economy's income is exceeds its production. D) none of the above are necessarily correct.
The economy's long-run aggregate supply curve
a. never shifts b. indicates that in the long run, the price level is constant c. is shifted by demand shocks d. is a vertical line at the full-employment level of output e. is perfectly elastic