A consumer
a. is equally satisfied with any indifference curve.
b. prefers indifference curves with positive slopes.
c. prefers higher indifference curves to lower indifference curves.
d. prefers indifference curves that are straight lines to indifference curves that are right angles.
c
You might also like to view...
Potential output
a. is defined as the level of real output that the economy could produce at high rates of resource utilization. b. only occurs when both the unemployment rate and inflation rate are zero. c. can be estimated by choosing benchmark measures of high resource utilization. d. Both a and c
In most societies, resources are allocated by
a. a single central planner. b. a small number of central planners. c. those firms that use resources to provide goods and services. d. the combined actions of millions of households and firms.
Assume a simplified banking system subject to a 20 percent required reserve ratio. If there is an initial increase in excess reserves of $100,000, the money supply:
a. decreases $500,000. b. increases $500,000. c. increases $600,000. d. increases $100,000.
In Figure 24.1, total revenue is represented by the area
A. ABDC. B. ABFE. C. ABGHE. D. CDFE.