Refer to Table 2-5. Assume Nadia's Neckware only produces ascots and bowties. A combination of 16 ascots and 6 bowties would appear
A) along Nadia's production possibilities frontier.
B) inside Nadia's production possibilities frontier.
C) outside Nadia's production possibilities frontier.
D) at the horizontal intercept of Nadia's production possibilities frontier.
B
You might also like to view...
Perfect competition requires that three conditions be satisfied.
Answer the following statement true (T) or false (F)
When a transfer price increases
a. the profits of the division using the intermediate product will rise b. the profits of the division using the intermediate product will be unaffected c. the profits of the division using the intermediate product will fall d. the costs of the division using the intermediate product will fall
In equilibrium which of the following happens if the U.S. imposes tariffs on power tools?
a. U.S. net exports rise b. the exchange rate falls c. U.S. production of power tools rises d. All of the above are correct.
Real business cycle theory explains fluctuations in output through:
A. changes in productivity. B. changes in aggregate demand. C. changes in monetary policy. D. shifts of the short-run aggregate supply curve.