Economic growth can be portrayed as a(n)
A. movement from a point on to a point inside a production possibilities frontier.
B. outward shift of the production possibilities frontier.
C. movement from one point to another point on a fixed production possibilities frontier.
D. inward shift of the production possibilities frontier.
Answer: B
You might also like to view...
If the Mexican government wants to keep the peso overvalued against the dollar, it will need to:
A) sell both dollars and pesos. B) buy both dollars and pesos. C) sell pesos and buy dollars. D) buy pesos and sell dollars.
In monopolistic competition, firms sell a differentiated product. In perfect competition, firms sell an identical product. How do these markets differ as a result?
What will be an ideal response?
What are the consequences of price discrimination for the producer, the consumer, and for society?
What will be an ideal response?
Refer to Exhibit 2-8. Who has the comparative advantage in the production of good X?
