The production possibility frontier is a graph that shows
A. all the combinations of goods and services that are consumed over time if all of society's resources are used efficiently.
B. the rate at which an economy's output will grow over time if all resources are used efficiently.
C. the amount of goods and services consumed at various average price levels.
D. all the combinations of goods and services that can be produced if all of society's resources are used efficiently.
Answer: D
You might also like to view...
All of the following are characteristics of an oligopolistic market EXCEPT
A) firms must consider the actions of their rivals. B) cartels eventually form to keep prices high. C) firms have the ability to influence prices. D) firms earn lower profits than a monopoly.
Productivity levels in rich countries are:
a. higher than in poor countries b. lower than in poor countries c. about the same as in poor countries d. not related to those in poor countries
Assume that foreign capital flows into a nation rise due to expected increases in stock market appreciation. If the nation has highly mobile international capital markets and a fixed exchange rate system, what happens to the real risk-free interest rate and reserves account in the context of the Three-Sector-Model? a. The real risk-free interest rate falls and reserves account becomes more
negative (or less positive). b. The real risk-free interest rate rises and reserves account becomes more negative (or less positive). c. The real risk-free interest rate and reserves account remain the same. d. The real risk-free interest rate rises and reserves account remains the same. e. There is not enough information to determine what happens to these two macroeconomic variables.
Labor unions will raise the quantity of labor demanded
a. True b. False Indicate whether the statement is true or false