When a nation experiences economic growth:
A) its production possibilities curve shifts outward.
B) its production possibilities curve shifts inward.
C) it has been able to reach full employment.
D) it has moved to a more consumer-oriented position on its production possibilities curve.
Ans: A) its production possibilities curve shifts outward.
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The following appeared in a Florida newspaper a week after a hurricane hit the state. "Floridians are relieved that the storm produced no fatalities but homeowners face weeks, if not months, of rebuilding. Matters are made worse by the soaring prices of plywood and other building materials that always follow in a hurricane's path. Complaints of profiteering and price gouging have not deterred firms from raising their prices by over 100 percent." Which of the following offers the best explanation for the price increases referred to in the article?
A) The hurricane caused an increase in the demand for building materials. B) The hurricane created an artificial shortage of building materials. C) There was a reduction in supply as firms shipped plywood and other materials to locations not affected by the storm. D) The hurricane reduced the number of suppliers of building materials.
Which of the following is an example of a natural monopoly?
a. national defense b. ocean fish c. cable TV d. pizza
In the above figure, at the firm's profit maximizing output, total revenue is rectangle
A. 0P2BQ1. B. 0P1AQ1. C. 0P3FQ3. D. 0P5EQ5.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The marginal rate of transformation in moving from Point B to Point A is
A. -2/3. B. -3/4. C. -1.5. D. -20.