Society's production possibilities frontier
a. helps explain the immense complexity of the real economy
b. demonstrates that, although resources are scarce for individuals, there is no problem of scarcity for society as a whole
c. is based on unrealistic assumptions and therefore has no value as an economic tool
d. is based on simplifying assumptions, but is still useful for illustrating scarcity, opportunity cost, and economic growth
e. is based on the assumption that technology is constantly changing
D
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The short-run Phillips curve implied when all changes in aggregate demand are caused by changes in the money supply is
a. upward sloping. b. downward sloping. c. horizontal. d. vertical. e. None of the above
The practice of charging different prices on the basis of varying customer preferences is known as:
a. arbitrage. b. discounting. c. price discrimination. d. rationing.
The position of the supply curve in the market for garbage removal
a. is irrelevant since the cost is fixed. b. depends on the marginal cost of garbage removal. c. depends on the demand for garbage removal services. d. is unaffected by taxes levied per household amount of garbage.
A rise in the price level because of an increase in the money wage rate
What will be an ideal response?