Which of the following most accurately indicates the implications of an economy's production possibilities curve?
a. If all the resources of an economy are being used efficiently, more of one good can be produced only if less of another good is produced.
b. If all the resources of an economy are being used efficiently, it is generally possible to produce more of one good without having to sacrifice the production of other goods.
c. Over time, it is generally impossible for a country to expand its production of goods.
d. An economy will automatically move toward a point that lies outside of the production possibilities constraint unless proper government policy constrains production.
a
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Which of the following will cause a leftward shift in the aggregate demand curve?
A) a reduction in the money supply B) an increase in taxes C) a reduction in government spending D) all of the above
In 1860 four-fifths of the farms with over 500 acres were in the
A. North. B. East. C. South. D. West.
Currently, union membership in the United States is about what percentage of civilian employees?
A. 10 percent. B. 15 percent. C. 20 percent. D. 25 percent.
Because pollution taxes raise the costs of production for firms, firms:
A. will lower prices to consumers. B. must receive a higher price at every level of output. C. will increase the quantity produced at every price. D. will quit producing goods that generate pollution.