Refer to Exhibit 2-5. Given available resources and technology, this economy can produce 50,000 television sets and 40,000 fax machines only if it chooses to produce at point
 ANSWER 6.png)
Answer: C
You might also like to view...
In the above figure, if the natural monopoly is regulated with a marginal cost pricing rule, then the deadweight loss to society is
A) zero. B) ecf. C) gde. D) efcb.
In a market, competitive forces guarantee that any price other than the equilibrium price is:
a. market-clearing. b. stable c. temporary. d. unaffordable.
The optimal time for the implementation of contractionary fiscal policy would be
a. before inflation accelerated. b. after inflation accelerated. c. after unemployment increased. d. after the price level had risen significantly.
Which of the following is true of a production possibilities curve?
a. It reveals the maximum amount of any two goods that can be produced from a fixed quantity of resources. b. It reveals the ideal level of technology for a country. c. It assumes that the prices of the two products are equal. d. For a country that could produce many different goods, it shows which two goods are most important to produce.