A production possibilities curve shows the
a. dollar costs of producing two different goods
b. amounts of labor and capital needed to produce one good
c. various combinations of goods that can be produced
d. prices of different goods that are produced in an economy
e. inefficient use of available resources and technology
C
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Governments can address the adverse selection problem in the health insurance market by requiring all its citizens to have health insurance
Indicate whether the statement is true or false
The condition that requires MRTS for each input pair to equal the ratio of their marginal costs is known as ________ efficiency, and the condition that requires MRS for each output pair to equal their output price ratio is known as ________
efficiency. A) economic, market B) micro, macro C) cost, revenue D) technical, output
In the 1970s, _____
a. the market interest rate increased above the rate that banks could offer b. banks and thrifts were able to borrow at low interest rates to support outstanding loans c. the market interest rate decreased below the rate that banks could offer d. banks and thrifts were forced to call in outstanding loans e. banks and thrifts were bailed out by the FDIC
The large budget deficits of 2001-2011 were
a. financed entirely through borrowing from domestic sources. b. accompanied by a rapid increase in private investment, which will enhance the welfare of future generations of Americans. c. accompanied by an increase in consumption as a share of GDP, which indicates the current generation of Americans is gaining at the expense of future generations. d. accompanied by large trade surpluses, which will enhance the welfare of future generations of Americans.