Efficiency occurs if the:
A. socially optimal quantity of goods and services is being produced.
B. market is in equilibrium.
C. individually rational quantity of goods and services is being produced.
D. government does not interfere with market prices.
Answer: A
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Most immigrants to the U.S. in the 1980s and 1990s were from
a. Asia. b. Eastern Europe. c. Western Europe. d. Mexico and Latin America.
The television network newscaster reports that the national inflation rate in the past year was equal to 4 percent. This report is most likely prepared from work done by a(n)
a. microeconomist b. normative economist c. macroeconomist d. econometrician e. social scientist rather than an economist
It is possible for an economy to increase its production of both goods if the economy
a. moves downward and to the right along its production possibilities frontier and the frontier is bowed outward. b. moves upward and to the left along its production possibilities frontier and the frontier is bowed outward. c. moves in either direction along its production possibilities frontier and the frontier is a straight line. d. moves from a situation of inefficient production to a situation of efficient production.
If the long-run supply curve of a purely competitive industry slopes upward, this implies that the prices of relevant resources:
A. will fall as the industry expands. B. are constant as the industry expands. C. rise as the industry contracts. D. rise as the industry expands.